ECONOMICS NEXT WEEK (ZT)

With the Bank of Canada citing a pick-up in inflation as a primary reason to raise interest rates, particular focus will be on this week's consumer price index.

The CPI for December, due Wednesday, is expected to show prices quickened to a 2.3-per-cent rate from a 2-per-cent rate in November. Core prices are seen hitting 1.7 per cent from 1.6 per cent. The reason: energy prices remain high, while cars have gotten more expensive.

"With higher auto prices helping to offset the usual price discounting seen in other categories like clothing in December, the annual rate of core inflation is expected to move up to 1.7 per cent during the month," said Carl Gomez, an economist at TD Bank Financial Group, in a weekly note.

The Bank of Canada is expected to raise interest rates on Jan. 24, bringing the rate to 3.5 per cent.

Also on tap is a Bank of Canada survey on the outlook for businesses, out Monday, and manufacturing shipments on Wednesday.

In the U.S., reports on consumer prices and housing starts are due.

MONDAY, JAN. 16

Economics

• Bank of Canada releases its quarterly business outlook survey.

TUESDAY, JAN. 17

Economics

• Statistics Canada releases leading indicators data for December. Economists expect a rise of 0.3 per cent.

Earnings

• Continental Airlines Inc. releases fourth-quarter, 2005, results. Analysts expect a loss of $1.63 (U.S.) a share, compared with $2.66 a year earlier.
• International Business Machines Corp. reports first-quarter, 2006, results. Analysts expect a profit of $1.05 (U.S.) a share, compared with 85 cents a year earlier.
• Intel Corp. reports fourth-quarter, 2005, results. Analysts expect a profit of 43 cents (U.S.) a share, compared with 33 cents a year earlier.
• U.S. Bancorp reports fourth-quarter, 2005, results. Analysts expect a profit of 62 cents (U.S.) a share, compared with 56 cents a year earlier.
• Wells Fargo & Co. report fourth-quarter, 2005, results. Analysts expect a profit of $1.16 (U.S.) a share, compared with $1.04 a year earlier.

WEDNESDAY, JAN. 18

Economics

• Statistics Canada reports year-over-year consumer price index figures for December. Economists expect a rise of 2.3 per cent.
• Statistics Canada releases its manufacturing survey for November. Economists expect a 0.3-per-cent increase in shipments over the previous month.
• The U.S. Conference Board reports on consumer confidence in December. Economists expect a rise of 0.2 per cent from the previous month.
• The U.S. National Association of Home Builders releases its housing index for January. Economists expect a reading of 59.
• The U.S. Federal Reserve Board publishes its Beige Book, a compilation of anecdotal information on current economic conditions in its 12 districts.

Earnings

• Apple Computer Inc. releases first-quarter, 2006, results. Analysts expect a profit of 53 cents (U.S.) a share, compared with 35 cents a year earlier.
• On-line auctioneer eBay Inc. reports fourth-quarter, 2005, results. Analysts expect a profit of 22 cents (U.S.) a share, compared with 16 cents a year earlier.
• Huntington Bancshares Inc. releases third-quarter results. Analysts expect a profit of 47 cents (U.S.) a share, compared with 39 cents a year earlier.
• J.P. Morgan Chase & Co. reports fourth-quarter, 2005, results. Analysts expect a profit of 72 cents (U.S.) a share, compared with 64 cents a year earlier.
• Mellon Financial Corp. reports fourth-quarter, 2005, results. Analysts expect a profit of 49 cents (U.S.) a share, compared with 47 cents a year earlier.
• Northern Trust Corp. reports fourth-quarter, 2005, results. Analysts expect a profit of 67 cents (U.S.) a share, compared with 60 cents a year earlier.
• Southwest Airlines Co. releases fourth-quarter, 2005, results. Analysts expect a profit of 12 cents (U.S.) a share, compared with 7 cents a year earlier.
• SunTrust Banks Inc. reports fourth-quarter, 2005, results. Analysts expect a profit of $1.43 (U.S.) a share, compared with $1.31 a year earlier.

Other

• Four Seasons Hotels Inc. hosts an investor day conference at the Four Seasons Hotel in New York from 9:00 a.m. to approximately noon. A live audio webcast of this event will be accessible beginning at 9:00 a.m., and subsequently on an archived basis.

THURSDAY, JAN. 19

Economics

• The U.S. Commerce Department reports on housing starts and building permits for December. Economists expect 2,050,000 starts and 2,100,000 permits, at annualized rates.
• Statistics Canada reports on Canada's international securities transactions in November. Economists expect a net gain of $3-billion.
• The U.S. Labour Department reports on initial jobless claims in the week ending Jan. 14.
• The Philadelphia Federal Reserve Bank issues its January regional factory index. A reading of 13 is expected.

Earnings

• Capital One Financial Corp. reports fourth-quarter, 2005, results. Analysts expect a profit of 94 cents (U.S.) a share, compared with 77 cents a year earlier.
• Comerica Inc. releases fourth-quarter, 2005, results. Analysts expect a profit of $1.19 (U.S.) a share, compared with $1.21 a year earlier.
• Harley-Davidson Inc. reports fourth-quarter, 2005, results. Analysts expect a profit of 81 cents (U.S.) a share, compared with 71 cents a year ago.
• International Game Technology reports first-quarter results. Analysts expect a profit of 27 cents (U.S.) a share, compared with 33 cents a year earlier.
• Merrill Lynch & Co. Inc. reports fourth-quarter, 2005, results. Analysts expect a profit of $1.28 (U.S.) a share, compared with $1.19 a year earlier.
• Motorola Inc. releases fourth-quarter, 2005, results. Analysts expect a profit of 34 cents (U.S.) a share, compared with 27 cents a year earlier.
• Novartis AG releases fourth-quarter, 2005, results. Analysts expect a profit of 72 cents (U.S.) a share, compared with 56 cents a year earlier.
• Union Pacific Corp. reports fourth-quarter, 2005, results. Analysts expect a profit of 98 cents (U.S.) a share, compared with 88 cents a year earlier.
• UnitedHealth Group Inc. reports fourth-quarter, 2005, results. Analysts expect a profit of 65 cents (U.S.) a share, compared with 55 cents a year earlier.
• Wachovia Corp. releases fourth-quarter, 2005, results. Analysts expect a profit of $1.11 (U.S.) a share, compared with 99 cents a year earlier.

FRIDAY, JAN. 20

Economics

• Statistics Canada reports on wholesale trade in November. Economists expect a 0.3-per-cent increase from the previous month.
• The University of Michigan releases its revised index of consumer sentiment for January. Economists expect a reading of 92.8, up from 91.5 in August.

Earnings

• Citigroup Inc. releases fourth-quarter, 2005, results. Analysts expect a profit of $1 (U.S.) a share, compared with $1.02 a year earlier.
• General Electric Co. reports fourth-quarter, 2005, results. Analysts expect a profit of 55 cents (U.S.) a share, compared with 51 cents a year earlier.
• Schlumberger Ltd. reports fourth-quarter, 2005, results. Analysts expect a profit of 96 cents (U.S.) a share, compared with 59 cents a year earlier.