* Best Buy shares slip in premarket after results
* Retail sales up more than expected in November
* Futures: S&P up 1.7 pts, Dow up 7 pts, Nasdaq up 2.5 pts (Adds retail sales, PPI data)
By Angela Moon
NEW YORK, Dec 14 (Reuters) - Wall Street was set for a slightly higher open on Tuesday as better-than-expected U.S. retail sales in November offset lower-than-forecast earnings and a weaker outlook from Best Buy Inc.
Sales at U.S. retailers rose more than expected last month, more evidence the economic recovery gathered steam in the fourth quarter.
"Up to about a week ago there was some vast outperformance out of the retail stocks that things would be better looking at the holiday season, and you're seeing this come to the headline news now," said Steve Goldman, market strategist at Weeden & Co in Greenwich, Connecticut.
Futures dipped briefly after Best Buy reported a decline in quarterly results and same-store sales and cut its full-year outlook, citing weak demand in its key U.S. market. The stock fell 13 percent to $36.34 in premarket trade.
U.S.-traded shares of Sony Corp also slipped 1.2 percent to $35.45 and Gamestop Corp fell 1.9 percent to $21.50.
Investors are awaiting a statement from the Federal Reserve's monetary policy meeting later Tuesday. The Fed is expected to leave rates unchanged and evaluate its recent massive bond-buying program to support the economy.
But the Fed may revise its economic outlook to reflect stronger growth after the White House and congressional Republicans agreed to extend tax breaks and provide a payroll tax cut, effectively delivering fresh stimulus. The announcement is due at 2:15 p.m.
"Unless they decide to significantly upgrade the economic activity, in which case it would be negative on the bond market and also temporarily negative on stocks, we are not expecting a shocker from the Fed," said Peter Cardillo, chief market economist at Avalon Partners in New York.
S&P 500 futures gained 1.9 points and were slightly above fair value, a formula that evaluates pricing by taking into account interest rates, dividends and time to expiration on the contract. Dow Jones industrial average futures gained 7 points, while Nasdaq 100 futures rose 2.5 points.
Separate data showed U.S. producer prices rose more than expected in November as energy prices spiked, but underlying inflation pressures remained subdued.
HCP Inc said on Monday it would buy most of the real estate assets of privately held nursing and assisted living firm HCR ManorCare Inc from Carlyle Group in a $6.1 billion sale and leaseback deal. The stock was down 2.7 percent at $31.65 in premarket trades.