WHAT TO WATCH FOR NEXT WEEK FROM RBC:.....>

AUSTRALIA: WHAT TO WATCH FOR NEXT WEEK FROM RBC:

"AU Q3 inflation (Wed): Headline inflation will be boosted by the impact of

higher retail electricity and gas prices in the quarter which rose by up to 20%

in the quarter. Captured within the housing component, we expect utilities to

account for around half the 0.9% increase in headline CPI in the quarter. This

would take the y/y rate to 2.1% from 1.9%. We expect the various core measures

to be more modest with the average of the trimmed mean and weighted median at

near 0.5% lifting the y/y rate to 2%. Q3 CPI is likely to cement the view that

core inflation has troughed and edging slightly higher, back within the RBA's

2-3% range for the first time since late 2015. Subdued wage and unit labour

costs suggest, however, that it is likely to remain near 2% for much of the next

12 months."