Stocks rose on Tuesday as renewed U.S. dollar weakness lifted shares of oil and other natural resource companies, but concern that the pace of the economic recovery may be tepid limited a broad advance.

While a rebound in May housing starts pointed to some stabilization in that sector and a smaller-than-expected rise in producer prices suggested inflation pressures were muted, another report showed industrial production logged a steeper-than-expected slide last month.

The Federal Reserve report also said May's capacity utilization rate for total industry, a measure of slack in the U.S. economy, slumped to its lowest level on records dating back to 1967.

The industrial production data is not confirming any kind of a turnaround yet, said Marc Pado, U.S. market strategist at Cantor Fitzgerald & Co in San Francisco. There's just no sign that the economy is picking up.

The Dow Jones industrial average <.DJI> gained 10.06 points, or 0.12 percent, to 8,622.19. The Standard & Poor's 500 Index <.SPX> climbed 2.63 points, or 0.28 percent, to 926.35. The Nasdaq Composite Index <.IXIC> rose 11.03 points, or 0.61 percent, to 1,827.41.

Among natural resource stocks rising on the back of resurgent commodity prices, U.S. Steel Corp rose 3.3 percent to $38.34. ConocoPhillips climbed 2.1 percent to $44 as U.S. front-month crude rose $1.67, or 2.3 percent, to $72.29 a barrel.

Technology shares also rose, with Research In Motion among the Nasdaq's top boosts, up 3.6 percent to $83.27 after the company introduced the newest BlackBerry smartphone and at least two brokerages raised their target on the stock.

Among housing stocks, Toll Brothers jumped 1.7 percent to $17.56, while the Dow Jones home construction index <.DJUSHB> added 2.6 percent.

Mixed quarterly results from Best Buy Co Inc , the largest U.S. consumer electronics retailer, also fueled some caution. Best Buy posted a slide in same-store sales, a key measure of retail performance, overshadowing a quarterly profit that came in above analysts' estimates.

Best Buy shares dropped 4.1 percent to $37.08.

While the run-up in commodity prices helps underpin stocks, it also raises concern that higher oil and other commodities may hamper any budding economic recovery in the long run. Higher energy costs are a drag on consumer spending and corporate profits.

The broad S&P 500 is still up 37 percent from the 12-year closing low of March 9.

(Additional reporting by Chuck Mikolajczak; Editing by Padraic Cassidy)