The core consumer-price index rose 0.1 percent in March, half the previous month's increase, and housing starts increased 0.8 percent, when Wall Street expected a 1.5 percent decline.

The Dow Jones industrials average rose 52.58 points, or 0.41 percent, to close at 12,773.04. The broader Standard & Poor's 500 stock index gained 3.01, or 0.2 percent, to 1,471.48.

On the New York Stock Exchange, 1,613 stocks gained and 1,703 declined on volume of more than 3 billion shares traded.

The technology-heavy Nasdaq composite lost 1.38, or 0.05 percent, to 2,516.95.

In London, the FTSE 100 index lost 18.40, or 0.28 percent to close at 6,497.80, after dipping as much as 0.9 percent after the release of the U.S. consumer price report.

Japan's benchmark Nikkei 225 index closed down 100.85, or 0.57 percent, at 17,527.45.

The 10-year U.S. Treasury note rose 12/32, yielding 4.688 percent, while the 30-year bond was up 21/32, yielding 4.847 percent.

The U.S. dollar fell to 118.85 yen from 119.73 yen in New York late Friday. The euro rose to $1.3571 from $1.3544.