STOCKS turned mostly lower in New York today as bonds retreated, sending interest rates even higher, after enthusiasm from an encouraging inflation report dampened ahead of this week's remaining economic data.

On Wall Street, the Dow Jones industrial average dropped 19.21 points to close at 5,668.66, down from a morning gain of 41 points.

Bonds started higher after a two day slide, bolstered by a report showing that wholesale prices which had raced ahead at worrisome levels the past two months fell in May.

The unexpected drop in the government's producer price index muted some concerns generated by Friday's release of May employment data.

Analysts had few clear explanations for the bond market's late slide. Some attributed it to inflation jitters before today's report on consumer price inflation and tomorrow's report on May's retail sales.