REPEAT: POV: RBA TO REMAIN ON HOLD, EYES ON.....>

RBA: REPEAT: POV: RBA TO REMAIN ON HOLD, EYES ON RHETORIC

- The final RBA meeting of '18 shouldn't generate fireworks, with rate likely to

be left unch. at 1.5%. It will almost certainly reiterate that the next move in

rates will likely be higher, if not in the statement, then in the minutes.

- The usual matters will come under scrutiny. The trade "truce" struck between

the U.S. & China over the weekend gives the Bank some wiggle room re: its

assessment of global matters, although many are viewing the agreement with a

healthy dose of scepticism. Interpretation of recent Fed rhetoric & increased

financial market volatility may well warrant a mention.

- Elsewhere wage growth remains ltd against a backdrop of a tightening labour

market, with the unemp. rate hitting levels the RBA was not exp. until '20,

triggering a lowering of the Bank's medium term unemp. f'cast in its Oct SoMP.

- GDP & retail sales data, due later this week, will give the Bank more of an

insight into consumption patterns relating to the moderation in house prices.

Outright language re: the housing market may be a little more cautious this time

out, although the domestic economy continues to operate in a robust manner.