Economic wrap: RBA in focus - Westpac

Analysts at Westpac offer an economic wrap.

Key Quotes:

"No major data to report.

Economic Event Risks Today

NZ inflation expectations (RBNZ survey) will be closely watched by the market for signs of upside pressure. Later tonight we have the GDT dairy auction, futures markets currently pricing a 1.5% fall in WMP prices.

We expect the RBA to be firmly on hold through 2017, although market doves will be looking for any hints of an easing bias in the statement today. The labour market remains central to the outlook.

Chinese FX reserves remain a key focus for global markets, with the $3trn level very close.

In US, the trade balance and Jolts reports are due, the latter getting more market attention due to Fed interest in its components. FOMC official Harker is also speaking, albeit on payment systems."