NEW YORK (CNNMoney.com) -- Stock futures got a boost Wednesday after part of another key inflation report came in below estimates and building permits hit a four year low, further taking pressure off the Fed to raise interest rates.

At 8:45 a.m. ET, Nasdaq and S&P futures turned higher following a mixed readings earlier in the morning.

The Labor Department said the Consumer Price Index, the government's key measure of retail prices, rose 0.4 percent in July, up from a 0.2 percent rise in June. Economists had predicted a gain of 0.4 percent, according to Briefing.com.

The more closely watched core CPI, which strips out food and energy prices, rose 0.2 percent. Economists were looking for a 0.3 percent gain, the same as the June increase.

The Producer Price Index, the measure of inflation on the wholesale level, came in well below forecasts Tuesday, raising hopes that inflationary pressures may be in check.

The PPI was a key to a rally in both U.S. stocks and bonds Tuesday.Treasury prices rose further in early trading Wednesday, with the 10-year note yield down to 4.88 percent from 4.93 percent late Tuesday.

In the morning's other key economic reading, the Department of Commerce said housing starts slowed 2.5 percent, slightly more than expected, to an annual rate of 1.8 million in July from 1.85 million in June. Economists were looking for starts to slow to an annualized 1.81 million.

Building permits, seen as a measure of builder confidence, fell to an annual rate of 1.747 million from 1.87 million in June. It was the lowest rate for building permits in nearly four years. Economists were looking for permits to slow to an annual rate of 1.84 million.

Oil eased ahead of the U.S. fuel inventory report due at 10:30 a.m. ET - the first reading that will show the impact of the shutdown of half the production of Prudhoe Bay, the nation's largest oil field, due to pipeline problems at BP (Charts).

U.S. light crude slipped 18 cents to $72.87 a barrel in electronic trading, while Brent crude traded in London was 35 cents lower at $73.45.

Major indexes in Asia closed generally higher Wednesday, with Japan's Nikkei topping the 16,000 mark. Major markets in Europe were slightly lower in early trading. The dollar was weaker against the yen but little changed against the euro in early trading.

In corporate news, chip equipment maker Applied Materials (Charts) reported better than expected earnings after the close Tuesday, lifting shares about 1 percent after-hours.

After the market close Wednesday, computer and peripheral maker Hewlett Packard (Charts) is due to report results, with analysts forecasting nearly a one-third rise in earnings even with only a 5 percent gain in revenue.

More news and information on U.S. markets ahead of the open.