Wages and jobs data to take centre stage
The tight jobs market has been delivering a solid boost to wages as workers find themselves in a position to ask for more money.
The Australian Bureau of Australia's wage price index for the March quarter, scheduled for release on Wednesday, is tipped to reveal strong growth underpinned by strength in the labour market.
Commonwealth Bank economists are predicting 0.9 per cent wage growth in the March quarter and for the index to be up 3.6 per cent on the year.
In the December quarter, wages lifted 3.3 per cent over the year - a robust result by historical standards but one that was weaker than analysts expected, largely suppressing fears of a wage-price spiral.
The Reserve Bank remains wary of wages and prices becoming stuck in a feedback loop, but its most up-to-date forecast includes wages growth peaking at four per cent - a level consistent with its plan to tame inflation.
While workers have enjoyed larger sums landing in their bank accounts, extremely high inflation has robbed Australians of a real wage rise.
Inflation was running at 7.8 per cent in the December quarter and seven per cent in the March quarter, leaving wages growth trailing far behind.
On Thursday, the national statistics bureau is due to release its April jobs report, which might finally show the jobs market weakening in line with forward-looking indicators like job vacancies.
Also of note will be the Reserve Bank's board meeting minutes following its May interest rate hike, which surprised many.
RBA governor Philip Lowe has since spoken publicly about the decision so the minutes, due on Tuesday, are unlikely to contain major revelations.
Also on Tuesday, the ABS will release overseas migration data and Westpac and Melbourne Institute will drop their consumer confidence survey.
US shares ended Friday slightly lower as consumer sentiment dropped to a six-month low amid aggressive interest rate hikes from the US Federal Reserve.
The S&P 500 lost 6.48 points, or 0.16 per cent, to finish at 4124.14, while the tech-heavy Nasdaq Composite index was down 43.76 points, or 0.35 per cent, to 12,284.74.
The Dow Jones Industrial Average fell 8.86 points, or 0.03 per cent, to 33,300.65.
Australian share futures were marginally up, rising seven points or 0.09 per cent to 7274.
Local markets finished last week down, with the benchmark S&P/ASX200 index shedding 4.8 points, or 0.07 per cent, to 7256 on Friday.
The broader All Ordinaries was down 3.5 points, or 0.05 per cent, to 7453.