Issue with npm install

Getting following error:
``` cmd
module.js:487
throw err;
^

Error: Cannot find module 'semver'
at Function.Module._resolveFilename (module.js:485:15)
at Function.Module._load (module.js:437:25)
at Module.require (module.js:513:17)
at require (internal/module.js:11:18)
at Object. (/usr/local/lib/node_modules/npm/lib/utils/unsupported.js:2:14)
at Module._compile (module.js:569:30)
at Object.Module._extensions..js (module.js:580:10)
at Module.load (module.js:503:32)
at tryModuleLoad (module.js:466:12)
at Function.Module._load (module.js:458:3)
Exited with code 1
```

CircleCI config file:
``` yml
version: 2
jobs:
build:
docker:
- image: circleci/node:latest

working_directory: ~/repo

steps:
- checkout

- run:
name: update-npm
command: 'sudo npm install -g npm@latest'

- restore_cache:
key: v0-dependencies-{{ checksum "package.json" }}

- run:
name: install-npm-packages
command: 'npm install'

- save_cache:
paths:
- ./node_modules
key: v0-dependencies-{{ checksum "package.json" }}

- run:
name: test
command: |
echo Running Tests
npm run test

- store_artifacts:
path: test-results.xml
prefix: tests

- store_artifacts:
path: coverage
prefix: coverage

- store_test_results:
path: test-results.xml
```

Start by reproducing the failure with the CircleCI configuration shown, especially the update-npm and npm install steps in the circleci/node image. Inspect package.json and the npm error output; done means dependencies install successfully and the existing test step can run.

Written by the indexing model from the issue text.