All the fire seems to have burned out of stocks markets on Tuesday, with commodity prices wandering aimlessly, Canadian inflation steady and U.S. investors awaiting new data on housing starts and building permits. "We may see a moderate sell off in the Canadian dollar on the back of the lower year-on-year core inflation rate," Adam Cole, senior currency strategist at RBC Capital Markets, told Reuters. "But I would expect any selling to be quite limited as we would expect [inflation]to bounce right back in June." Bank of Montreal is looking for more upside for record-setting Canadian equities on the strength of the energy sector, firm metals and improving U.S. economic prospects. "However, the very likely possibility of higher short-term rates may mute any rally on weakness of interest-sensitive stocks." Wall Street expects that new home construction slipped in May, but that building permits rebounded from a 10-year low in April, according to economists surveyed by Thomson Financial. While Wall Street has largely tried to look past weakness in the housing market as old news, any sign that the fallout isn't contained and could taint other areas of the economy could alarm investors. Also on the docket is quarterly results from electronics chain Best Buy Co. Wall Street has applauded the new pecking order in the executive suite at search engine Yahoo Inc., sending the shares higher in pre-market trading, so a bounce in technology could cushion the market. Shares of aluminum producer Alcoa Inc. are lower ahead of the bell on continuing speculation that BHP Billiton Ltd. will arrive as a white knight, upsetting its hostile bid for competitor Alcan Inc. Overseas, stock prices in Asia closed higher on upbeat hopes of better interim financial results, with telecom and property stocks in favour. Britain's leading share index lost ground by midday, as Tesco PLC tumbled after announcing slower U.K. sales growth. And a surprise fall in a measure of German investor confidence knocked European shares. Commodity prices are again wandering aimlessly, with weakness in copper, zinc, nickel and lead reflecting cautious trading ahead of U.S. housing data. Aluminum is unchanged, with tin firm. Strike threats at a number of copper mines and low inventories could underpin prices and limit further losses, with talk of cuts in stainless steel production continued to weigh on nickel prices. Gold slipped in Europe after Monday's one-week high, as a rise in the U.S. dollar and a decline in oil prices prompted light selling. Losses in the oil market were limited by a strike call in Nigeria that could further hobble output.