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Manitoba's police watchdog says it is investigating an incident that left a man dead and an officer with a serious stab wound.

The Independent Investigation Unit says police have told them that Winnipeg officers were responding to a 9-1-1 call about a domestic dispute at a home on Saturday afternoon, and were confronted by a man with a knife when they arrived.

The man stabbed one of the officers and was subsequently shot by police.

The police officer was transported to hospital in unstable condition, but police said yesterday he was upgraded to stable.