Housing Starts, CPI Shine Light on U.S. Economy

Reports on industrial production and housing starts due this week might add to evidence that a slowdown has replaced inflation as a threat to the U.S. economy. Meanwhile, the consumer price index, a key measure of inflation coming Wednesday, could push the Federal Reserve closer to more interest rate cuts in 2001, signaling help is in store for struggling firms.

Economic reports due this week:

* Tuesday, Commerce Department will report on business inventories for November.

* Tuesday, Commerce Department releases a report on the state of minority ownership of commercial broadcast stations in the U.S.

* Wednesday, Labor Department will report on the consumer price index for December.

* Wednesday, the Federal Reserve will report on its December index of goods, materials and power coming from U.S. factories, mines and utilities.

* Wednesday, the Fed’s so-called beige book, based on reports and analyses from the Fed’s 12 district banks, will be released.

* Thursday, Commerce Department will release data on the start of construction of homes during December.

* Friday, Commerce Department will report on the November trade deficit, which is on course for an annual record of $363 billion.