Stocks are indicated modestly higher following a round of in-line economic data and as investors await the Federal Reserve’s interest rate announcement. Less than an hour before the opening bell on Wall Street, stock index futures indicate that the Dow Jones Industrial Average might add about 40 points at the open.

Housing and inflation data are in focus early Wednesday. A report released before the bell showed housing starts increasing at an annual rate of 574,000 in November, which was up from 527,000 in October and in-line with economist estimates. Building permits, a better gauge of future activity, rose to 580,000, up from 551,000 in October and better than the 570,000 economists had predicted.

Separate data showed the Consumer Price Index [CPI] up .4 percent in November, which matched consensus estimates. Stripping out food and energy, the CPI was unchanged, compared to economist forecasts for a .1 percent rise.

Stock index futures held steady through the data. Bonds are little changed. The benchmark ten-year Treasury is flat and yields 3.59 percent.

The dollar edged up .08 to 89.75 on the Japanese yen. The euro is bouncing back a bit, up .0018 to 1.4550 against the buck.

Crude oil gained .55 to $71.20 a barrel ahead of weekly inventory data due out at 10:30 eastern time. Gold added $8.5 to $1131.50 an ounce.

Attention turns to the Federal Reserve Open Market Committee [FOMC] this afternoon. A statement is expected at 14:15. While no changes in rates are expected, the post meeting statement will be scrutinized for signs regarding any possible policy shifts.

Among the stocks to watch Wednesday, GE will help the Dow in early trading after the company updated investors in a conference late Tuesday. Shares are up 1 percent after GE reaffirmed its 2010 outlook. Adobe (ADBE) edged higher after the software maker reported a 39-cent per share quarterly profit, which beat Street estimates by two pennies. Schwab (SCHW) moved up after Deutsche Bank upgraded shares of the discount broker to Buy. FedEx (FDX) might see action ahead of earnings, due out tomorrow before the opening bell.