AUD/JPY attracts some sellers to near 93.00, eyes on RBA Press Conference

• AUD/JPY softens to around 93.00 in Tuesday's Asian session, down 0.55% on the day.
• RBA cut its OCR by 25 bps to 3.85% at the May meeting.
• BoJ's Uchida said the central bank will continue to raise interest rates if the economy rebounds from the tariff hit. 

The AUD/JPY cross faces some selling pressure to near 93.00 during the Asian trading hours on Tuesday. The Australian Dollar (AUD) edges lower against the Japanese Yen (JPY) after the Reserve Bank of Australia's (RBA) interest rate decision. The attention will shift to RBA Governor Michele Bullock's press conference at 05:30 GMT.

As widely expected, the RBA board members decided to lower the Official Cash Rate (OCR) by 25 basis points (bps) from 4.10% to 3.85% at its May policy meeting on Tuesday. According to the Summary of the RBA monetary policy statement, escalation of global trade conflict is a key downside risk to the economy. Furthermore, the global growth outlook has been downgraded, and uncertainty has increased due to US tariff policies. The Aussie weakens in immediate reaction to the RBA rate cut. 

The growing speculation that the Bank of Japan (BoJ) will raise interest rates again this year provides some support to the JPY and creates a headwind for the cross. BoJ Deputy Governor Shinichi Uchida said on Monday that Japan's underlying inflation is likely to re-accelerate after a period of slowdown and that the Japanese central bank will keep raising interest rates if the economy and prices improve as projected.