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Futures Erase Losses After Economic Report

Futures shaved their earlier losses Tuesday following news producer prices rose more than expected in September and following a handful of earnings reports.

U.S. producer prices rose more than expected by 0.8 percent in September to record their largest increase in five months as gasoline prices surged, according to the Labor Department. Economists polled by Reuters had expected prices to increase 0.2 percent.

Among earnings, Bank of America posted a report that appeared to beat on both revenue and profit, while Goldman Sachs saw only its second loss since becoming a public company 12 years ago. Both shares were volatile in pre-market trading, see-sawing in and out of positive territory.

IBM slumped after the tech giant's revenue barely met forecasts, underscoring fears over slower IT spending. The company still beat earnings expectation and increased its 2011 EPS outlook.

Elsewhere in earnings, Coca Cola edged higher after the beverage giant posted earnings that beat estimates by a penny, as sales increased internationally.

Meanwhile, fellow Dow component J&J was flat after the pharmaceutical company posted lower earnings, but the weaker dollar and strong overseas demand helped the firm beat forecasts.

Intel and Apple are slated to post earnings after-the-bell tonight. Analysts expect Apple to present a positive short-term picture, with roaring sales of its iPhone and iPad.

In other company news, Boeing predicted more sales cancellations for its Dreamliner 787 after a Chinese airline scrapped 24 orders.

A warning from Moody’s rating agency that it could slap a negative outlook on its AAA rating for France also weighed on sentiment, sending stocks in Europe lower.

On the economic front, the latest sentiment survey from the National Association of Home Builders is also due.

Federal Reserve Chairman Ben Bernanke speaks at the Boston Fed's conference on the long-term effects of the "Great Recession" at 1:15 pm ET.

—Follow JeeYeon Park on Twitter: twitter.com/JeeYeonParkCNBC

On Tap This Week:

TUESDAY: Treasury international capital, housing market index, Bernanke speaks; Earnings from Apple, Intel, CSX and Yahoo
WEDNESDAY: Weekly mortgage apps, CPI, housing starts, Fed's Rosengren speaks, oil inventories, Fed's Beige Book; Earnings from Morgan Stanley, Travelers, United Tech, AmEx, Ebay, Western Digital
THURSDAY: Jobless claims, existing home sales, Philadelphia Fed survey, leading indicators, Fed's Bullard and Kocherlakota speak, NewsCorp investor day; Earnings from AT&T, Eli Lilly, Nokia, AutoNation, Microsoft, Capital One, Chipotle and SanDisk
FRIDAY: Fed's Kocherlakota speaks, 2011 Dodd-Frank Rulemaking Deadline; Earnings from GE, McDonald's, Verizon, Honeywell and Schlumberger

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