Canadian manufacturing shipments and first quarter labour productivity data will top the Canadian economic news of the day, but all eyes will be on the release of U.S. consumer prices and the University of Michigan's consumer sentiment index.

At 8:30 a.m. EDT, Statistics Canada will release April manufacturing shipments, which are expected to expand 0.5% month-over-month following a 1.6% decline in March.

Also at 8:30 a.m. EDT, Statistics Canada will release first quarter Canadian labour productivity, which is expected to fall 0.4%, following a 0.8% decline in the fourth quarter of 2007.



The U.S. Bureau of Labor Statistics will release its consumer price index (CPI) for May at 8:30 a.m. EDT. According to the consensus, the headline index is expected to rise to 216.205 from April's 214.823. Economists are expecting a 0.5% month-over-month gain in headline CPI, compared to the previous month's 0.2% increase. Core CPI is expected to rise 0.2% month-over-month compared to April's 0.1% growth rate. Annual CPI is expected to rise 3.9%, in line with the previous month's gain. Core CPI is expected to rise 2.3% year-over-year, also matching the previous month's annual gain.

At 10 a.m. EDT, Reuters and the University of Michigan will release the preliminary consumer sentiment report for June. The headline index is expected to decline to 59.0 compared to May's final 59.8.

At noon EDT, former Fed Chairman Alan Greenspan will speak at an economic forum in Mexico City.

Also at noon EDT, Bundesbank President Axel Weber will host a forum at the University of Bielefeld in Germany.

8:30 CA Manufacturing Shipments (M/M) April Exp: +0.5% Prior: -1.6%

8:30 CA Labour Productivity (Q/Q) Q1 Exp: -0.4% Prior: -0.8%

8:30 US Consumer Price Index (M/M) May Exp: +0.5% Prior: +0.2%

8:30 US CPI Ex Food & Energy (M/M) May Exp: +0.2% Prior: +0.1%

8:30 US Consumer Price Index (Y/Y) May Exp: +3.9% Prior: +3.9%

8:30 US CPI Ex Food & Energy (Y/Y) May Exp: +2.3% Prior: +2.3%

8:30 US CPI Core Index SA May Prior: 214.398

8:30 US Consumer Price Index NSA May Exp: 216.205 Prior: 214.823

10:00 US University of Michigan/Reuters Confidence June Preliminary Exp: 59.0 Prior: 59.8

12:00 DE ECB's Weber speaking in Bielefeld, Germany

12:00 US Former Fed Chairman Greenspan speaks in Mexico City

By Erik Kevin Franco and edited by Cristina Markham