July 12 (Reuters) - Futures tracking the S&P 500 and the

Nasdaq turned lower on Friday, as a hotter-than-expected

producer prices inflation reading dampened investors' hopes

around an early start to the Federal Reserve's monetary policy

easing.

Data from the U.S. Labor Department showed the Producer

Price Index rose 0.2% on a monthly basis in June, compared to

the 0.1% rise expected by economists polled by Reuters.

Annually, it rose 2.6%, versus an estimate of a 2.3% rise.

Excluding volatile food and energy components, so-called

core PPI gained 0.4% month-on-month, compared to an expected

0.2% rise. Annually, it jumped 3%, versus an estimated 2.5%

advance.

At 8:31 a.m. ET, Dow e-minis were up 8 points, or

0.02%, S&P 500 e-minis were down 4.75 points, or 0.08%,

and Nasdaq 100 e-minis were down 36.25 points, or 0.18%.