Investors will be looking for evidence of inflation when Statistics Canada releases its report on the consumer price index on Friday.

Prices are expected to accelerate by 1.8% in June, up from a 1.6% annual rate a month earlier.

“Outside of costly gasoline, airfares were lifted in response to resurgent crude,” said CIBC World Markets economist Warren Lovely in a research note.

The core inflation is expected to rise a notch to a 1.7% annual rate.

The Bank of Canada said last week that it expects the core rate of inflation to return to 2% by the end of next year.

Also on tap are Canadian retail sales for, also due on Friday. Economists see sales slipping 0.3% for the month, from a hefty 1.5% gain in April.

On Monday, Statistics Canada reports on Canada’s international transactions in securities in May. BMO Nesbitt Burns estimates a net outflow of $2 billion.

On Wednesday, StatsCan reports on the leading indicators for June. BMO Nesbitt Burns expects a rise of 0.1%.

The government agency also reports on wholesale trade in May. BMO Nesbitt Burns expects a drop of 0.5%.

On Thursday, Franklin Templeton Investments holds its Outlook and Opportunities Forum 2005, and the 51st Annual Meeting of Templeton Growth Fund Ltd., in Toronto.

In the U.S., Federal Reserve Chairman Alan Greenspan will deliver his semi-annual monetary policy report to the U.S. House and Senate on Wednesday and Thursday.

That will be followed by the release of the Federal Reserve Open Committee’s minutes on their June 29 and 30 meeting on Thursday.

On Tuesday, the U.S. Commerce Department reports on building permits in June. Economists expect 2.08 million permits, annualized.

Separately, Commerce reports on housing starts in June. Economists expect 2.05 million starts, annualized.

On Thursday, the U.S. Labor Department reports on initial jobless claims for the week ending July 16. Economists expect 329,000 claims.

Separately, the Philadelphia Federal Reserve Bank issues its regional factory index for July. Economists expect a reading of 9.5.

Second-quarter earnings season heats up in the coming week, with 17 of the Dow Jones’ 30 components and a quarter of the S&P 500 set to report quarterly results.

Intel Corp., 3M Co., Microsoft Corp., Citigroup Inc., Johnson & Johnson, General Motors Corp., Merck & Co., Inc. and Honeywell are among the 17 Dow Jones components slated to release earnings.

The pace of earnings north of the border will also pick up, with Shoppers Drug Mart Corp., Cott Corp., Norboard Inc., Zarlink Semiconductor Inc., and Celestica Inc. due to report financial results.