As the RBA continue to highlight wage.....>

AUSTRALIA: As the RBA continue to highlight wage growth concerns, the Australian

Wage Price Index, normally a lower-tier data release now comes into focus. The

data is scheduled for tomorrow morning at 0030GMT.

- Analysts at ANZ expect A moderate 0.5% rise in Q4. They see the risks as

tilted to the upside, given the potential for catch-up from the minimum wage

boost and delayed EBAs. A rise of 0.5% would bring annual growth to 2.0%,

continuing the very mild upward trend.

- CBA expect the annual growth rate to stay at 2% and offer a relatively benign

inflation outlook for the next few quarters. Most models of the jobs market and

wages outlook are indicating a pick-up in wages by year end.

- NAB is expecting a 0.5% q/q increase in the December quarter, bringing annual

growth to 2.0%, well below its long-run average of 3.3%.

- TD Securities After penalty rate cuts left Q3 WCI at 2.0%/y instead of 2.2%/y,

see upside for Q4 via (1) delayed minimum wage boost and (2) absent penalty rate

cut boosting services WCI.