France's CPI report for April is expected to increase to 0.4%, down from March's increase of 0.8%. The annualized rate is also expected to come in slightly lower with an increase of 3.0%, down from March's rise of 3.2%. The harmonized inflation rate is expected to rise 3.4% following a prior rise of 3.5%.

Italian inflation is expected to show a steady increase of 0.1% in April following March's increase of 0.1%. The annualized rate is expected to increase 3.3% following March's gain of 3.3%. The harmonized rate is expected to rise 0.5%, down from a 1.6% increase in March. The annualized rate is expected to show an increase of 3.5%, down from the previous month's 3.6% rise.

In the UK, markets will receive important employment data. UK jobless claims are expected to remain unchanged following a decline of 1,200 in March. The claimant count rate is expected to remain steady at 2.5%.

Howard Archer, chief UK and European economist from Global Insight, said he is not expecting a lot of good news in the UK employment sector. He said soft economic growth will continue to drag down employment.

"Unemployment is a lagging indicator and we suspect that slowing growth will take an increasing toll on the labour market as 2008 progresses. Significantly, latest labour hiring surveys are clearly softer overall," he said.

All times in EDT

Wednesday

2:40 EU France Consumer Price Index (Monthly) April Exp: +0.4% Prior: +0.8%

2:40 EU France Consumer Price Index (Annualized) April Exp: +3.0% Prior: +3.2%

2:40 EU France Consumer Price Index - EU Harmonised (Monthly) April Exp: +0.4% Prior: +0.8%

2:40 EU France Consumer Price Index - EU Harmonised (Annualized) April Exp: +3.4% Prior: +3.5%

2:40 EU France Consumer Price Index Ex Tobacco Index April Exp: 117.8 Prior: 117.46

2:50 EU France April Survey of Industrial Investment

4:00 EU Italy Consumer Price Index (NIC including tobacco) (Monthly) April Final Exp: +0.1% Prior: +0.1%

4:00 EU Italy Consumer Price Index (NIC including tobacco) (Annualized) April Final Exp: +3.3% Prior: +3.3%

4:00 EU Italy Consumer Price Index - EU Harmonized (Monthly) April Final Exp: +0.5% Prior: +0.5%

4:00 EU Italy Consumer Price Index - EU Harmonized (Annualized) April Final Exp: 3.5% Prior: 3.5%

4:30 UK Claimant Count Rate April Exp: 2.5% Prior: 2.5%

4:30 UK Jobless Claims Change April Exp: 0.0k Prior: -1.2k

4:30 UK Avg Earnings inc bonus 3month/(Annualized) March Exp: +3.7% Prior: +3.7%

4:30 UK Avg Earnings ex bonus 3month/(Annualized) March Exp: +3.8% Prior: +3.8%

4:30 UK ILO Unemployment Rate (3 months) March Exp: +5.2% +5.2%

4:30 UK Manufacturing Unit Wage Cost (3months/(Annualized)) March Prior: +0.8%

5:00 EU Euro-Zone Industrial Production (SA) (Monthly) March Exp: -0.3% Prior: +0.3%

5:00 EU Euro-Zone Industrial Production (WDA) (Annualized) March Exp: +2.3% Prior: +3.1%

5:30 UK Bank of England Quarterly Inflation Report

14-May EU IMF's Strauss-Kahn Addresses Parliament on Financial Crisis

14-15 May EU EU's Almunia, ECB's Papademos Speak at Economic Forum

By Neils Christensen, This email address is being protected from spam bots, you need Javascript enabled to view it , edited by Nancy Girgis, This email address is being protected from spam bots, you need Javascript enabled to view it