>> The only thing which looks strange to me is that, the mode line in
>> the `*xxx output* buffer starts with
>>
>> 1:**
>> (but the UTF-8 contents of the log file as emitted by XeTeX is
>> correctly displayed).
>
> In that case, latin-1 is the coding system for saving that buffer
> and utf-8 is for decoding the output from external process. Of
> several coding systems, the one for saving the buffer is the most
> important for most cases, so usually only that one is displayed in
> the mode line.
Thanks for the explanation, which I already knew :-)
My question was probably not precise enough: I wonder why auctex
doesn't set the buffer encoding also (derived from the master file's
local variables), given that auctex itself generates the *xxx output*
buffer.
Werner
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