North American stocks are poised to rise Tuesday, following the release of better-than-expected wholesale-inflation data in the United States.

Earlier this morning, the U.S. Labor Department said the July producer price index for finished goods rose by 0.1% on a seasonally adjusted basis, after increasing 0.5% in June. The core PPI, excluding food and energy costs, fell 0.3% last month, matching the largest drop since April 2003. Wall Street economists had expected the overall PPI to rise 0.4% in July and that the core PPI would go up 0.2%.

In other economic news, the New York Fed’s August manufacturing survey declined to 10.34 from 16.58.

Here at home, Statistics Canada said sagging demand for trucks drove new motor vehicle sales down for a third consecutive month in June.

The Canadian dollar opened at US88.39¢, down 0.38 of a cent.

In M&A news, Inco Ltd. has agreed to negotiate with CVRD about the Brazilian company’s $17.2 million cash takeover offer, while affirming its rejection of Teck Cominco’s cash-and-stock bid. But the nickel giant said Tuesday it continues to support the cash-and-stock offer from Phelps Dodge Corp. valued at $17.7 billion.

In today’s earnings news, PEnn West Energy Trust’s second-quarter profit soared to $220 million from $60 million in the same period a year ago, mainly due to higher liquids prices and a future income-tax recovery.

Wal-Mart reported a 26% decline in quarterly net profit, as the sale of its retail business in Germany offset traffic-generating back-to-school sales that helped boost total revenue.

Home Depot recorded a 5.3% jump in second-quarter net earnings on a 17% rise in sales. However, the largest home-improvement chain in the U.S. said its earnings for the year will be at the low end of its previous guidance based on the current economic environment and its reinvestment program.

Swiss bank UBS reported a 47% gain in quarterly net profit, helped by healthy results from its private-banking and investment-banking operations.

Among stocks to watch, Dell plans to recall more than four million notebook-computer batteries that can overheat and pose a fire hazard.

Crude-oil prices fell 19¢ to US$73.34 a barrel as the market responded to a cease-fire in Lebanon that ended a month of fighting and eased concerns of a supply disruption, and as production partially restarted at BP’s Alaska field.

In overseas trading, the Nikkei 225 in Tokyo and the FTSE 100 in London both saw modest losses.

Toronto stocks fell Monday, as a drop in commodity prices, in the aftermath of the just negotiated end of hostilities between Israel and Lebanon, put downward pressure on resource sectors.

The S&P/TSX composite index fell 94.74, or 0.79%, to 11,850.16.

The S&P/TSX Venture composite index fell 26.07, or 0.99%, to 2,603.29.

In New York, lower commodity prices initially drove the market to a triple-digit gain in morning trading, but worries over a slowing economy erased much of that gain.

The Dow Jones industrial average finished 9.84 points higher to 11,097.87. The Nasdaq composite index added 11.33 points to 2,069.04, while the S&P 500 put on 1.47 points to 1,268.21.