Futures Higher; Home Depot, Euro Gain

U.S. stock index futures pointed to a slight rise at the start of trading Tuesday, but investors remained wary of the fiscal problems in Europe.

Home Depot shares gained about 1 percent after the largest home improvement retailer posted earnings of 43 cents a share and raised its outlook. The report comes a day after competitor Lowe's also beat estimates but disappointed investors with a weak outlook.

Also on the earnings front, Wal-Mart Stores will announce its fiscal first-quarter results later in the morning. Hewlett Packard reports after the bell.

Closely watched currency trends tilted back in favor of US equities, with the dollar edging lower against a basket of foreign currencies and the euro gaining a bit of ground against the greenback.

Stocks staged a comeback in late trading on Monday as investors saw value in potentially oversold markets and, at least temporarily, shrugging off worries over the euro-zone debt crisis and the struggling euro.

Oil rebounded off an eight-month low to gain more than $2 a barrel.

But the Senate vote to oppose IMF bailout packages to countries that are unlikely to repay them could raise alarm about the spread of Greek debt problems.

“I think the odds are that we’ll have the euro and the euro zone," Bob Mckee, chief economist at Independent Strategy limited, told CNBC.

"It’s not whether Greece defaults. The future will be decided by Germany. They’ll decide if it’s worth the effort to keep the euro zone together or go it alone.” Asian stock markets were choppy, as the Nikkei finished flat after positive intraday trading, while Mitsubishi after industrial metals prices plunged.

Tuesday's economic calendar includes the latest numbers on wholesale inflation, due at 8:30am New York time.

Economists forecasting a May rise of 0.1 percent for both the producer price index (PPI) and the core PPI, which excludes both food and energy.

Housing starts and building permits are also expected at the same time, with analysts expecting groundbreaking on new homes to come in at an annual rate of 655,000 for May and 680,000 for permits for future construction.

In other corporate news, Boeing announced that it would increase production of its narrow-body 737 model to 34 aircraft per month, due to strong demand from airlines as they rebound from the 2008 and 2009 recession.

And United Parcel Service , the world's largest package delivery service, announced strong growth expectations for its Asian business, adding that the volcanic ash cloud in Europe was not hampering its business.