The Australian sharemarket is expected to start the week only slightly higher after commodity prices had one to two per cent falls on Friday.
Wall Street closed higher on Friday, clinching the fourth straight week of gains, boosted by strength in telecom stalwarts AT&T and Verizon.
But AMP Capital's chief economist Shane Oliver expects the Australian share market to rise by only five points on Monday.
"Wall Street would suggest a stronger rise but the problem is commodity prices also fell and that will act as a restraint on resources stocks in our market," he said.
The oil price is down one per cent, the iron ore price by two per cent and copper price by one per cent.
Dr Oliver said the markets had largely digested the fallout of Britain's decision to leave the European Union and the make-up of Australians new parliament.
"The prospect of a Trump presidency could cause us bouts of uncertainty in the months ahead," he said.
The key local event this week will be the release of official inflation figures on Wednesday.
CommSec chief economist Craig James said the June inflation was likely to be 1.1 per cent over the year, well below the Reserve Bank of Australia's two-to-three per cent target range.
"It's super low levels of inflation and that ... does leave the door open to an interest rate cut (in August)," he told AAP on Sunday.
Mr James also expected the outcome of the US Federal Reserve policy meeting, on Thursday AEST, to set the scene for higher interest rates in the future.
"We're expecting it to be a little bit hawkish and ... that could push up the US dollar and down the Australian dollar," he said.
It currently sits at 74.5 per cent, down from 0.4 per cent on Friday.
