Cool Numbers; No Inflation

A tame Consumer Price Index and a 3.3% fall in new housing starts has stocks
edging slightly higher Wednesday, as traders become more convinced that the
Federal reserve will likely leave rates unchanged at its August 22 meeting.

Both the CPI and core CPI rates came in with the expected 0.2% increase,
while housing starts increased at an annual rate of 1.51 million, which was
lower than the 1.57 million that analysts had expected.

The Nasdaq futures are up 14 points, and the Dow futures are unchanged.

The S&Ps look to open up about a point while the yield on the 10-year
Treasury is 5.81%.

Wednesday Earnings

Analog Devices
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posted fiscal third quarter earnings of 43 cents per
share, topping First Call/Thomson Financial estimates of 37 cents per share.
Analog Devices closed Tuesday at 82 7/8 and was trading up to 84 1/2 on Instinet
in early morning action.

Online broker TD Waterhouse
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said it earned 9 cents a share for its
fiscal third quarter, and that matched First Call/Thomson Financial estimates.
TD Waterhouse closed Tuesday down 5/16 to 17 13/16.

Luxury product retailer Tiffany & Co.
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posted second quarter earnings of
26 cents per share, beating Street estimates of 22 cents per share. Tiffany
closed Tuesday at 40 3/8.

On Tuesday

Optical networker Ciena
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announced after the bell that it would
split its shares 2-for-1 for shareholders of record on August 28. Ciena closed
Tuesday up 6 9/16 to 170 1/4 and is trading up to 172 1/2 in pre-market
activity.