Stock futures moved off their highs but still remained on the upside
Tuesday after a key reading on inflation came in higher than expected
and new home construction plummeted.
The Labor Department said producer prices rose 1.4% in May, higher than the 1% rise projected by economists surveyed by Briefing.com.
However, the closely watched core PPI, which excludes volatile food and energy prices, edged higher 0.2%. That was in line with estimates and lower than the 0.4% rise the month before. The Commerce Department also reported that number of new homes breaking ground in May fell 3.3% to a 17-year low.
On the earnings front, Wall Street heavyweight Goldman Sachs reported a $2.1 billion quarterly profit on Tuesday, beating forecasts and showing once again that it has largely avoided the credit crunch that has hurt many of its Wall Street rivals.