Advance Retail Sales are expected to fall back 0.2 percent after showing a surprising 0.2 percent gain during the month prior, but given the current economic scenario, this figure could prove to be even more disappointing when announced.

The only significant event risk on Friday will be from the release of the Canadian net employment change.

Australian employment data is expected to show signs of slowing during the month of April, as the net employment change is forecasted to rise by only 10,000 while the unemployment rate is anticipated to hold at 4.1 percent.

Canadian business activity is expected to slow in April, as Ivey PMI is forecasted to slip for the second consecutive month to 54.0 from 59.0.

Conditions in US non-manufacturing sector – which accounts for approximately 70 percent of total economic activity in the country and includes retail, services, and finance – are anticipated to remain contractionary in April, as the Institute for Supply Management index is estimated to fall to 49.5 from 49.6.

On Friday, US non-farm payroll figures will be reported and are anticipated to point towards recessionary conditions in the US economy, despite the positive Q1 GDP reading.

The Institute for Supply Management is expected to report that their survey of conditions in the manufacturing sector fell to a five-year low of 48.0 in April from 48.6. However, data from the Philadelphia, Richmond, and Chicago Federal Reserve regions all show that conditions remain weak.

The ongoing housing recession has led many to believe that the US economy is in the midst of a real economic recession, and the upcoming GDP report will go a long way to dispel or confirm such pessimistic sentiment.

On Tuesday, the release of US economic data will likely highlight some of the reasons why traders are ramping up speculation that the country is in midst of a recession.

Economic expansion in the UK during Q1 is expected to slow to the weakest pace in three years, as a faltering housing sector weighs on growth.