Wall Street heads into the new week with a relatively light economic calendar, but investors will have plenty to watch as major retailers offer fresh clues on the health of the US consumer. Home Depot kicks off the retail earnings slate Tuesday, followed by Target on Wednesday and Walmart on Thursday. Together, the reports should provide a useful snapshot of consumer spending as elevated borrowing costs, a sluggish housing market and persistent price pressures continue to shape behavior.
The other major focus will be the Federal Reserve. Minutes from the Fed's July meeting are due Wednesday and should provide more detail on the debate that led policymakers to leave interest rates unchanged. Wall Street was treading water Monday morning, with investors looking ahead to a busy week of retail earnings for clues about the health of the US consumer.
The Dow Jones Industrial Average fell 122 points, or 0.2%, to 53,611, while the S&P 500 slipped 12 points, or 0.2%, to 7,774. The Nasdaq was essentially flat at 26,734. Oil prices edged higher, with Brent crude trading around $88 a barrel and West Texas Intermediate at $82.
Investors will have plenty to digest this week, with Home Depot, Target and Walmart among the major retailers reporting results. Their earnings and outlooks could provide a fresh read on consumer spending and the resilience of the US economy. On the economic calendar Monday, the Empire State Manufacturing Survey is due as well as the NAHB Housing Market Index.
Elsewhere, Berkshire Hathaway has increased its exposure to the US housing market, according to regulatory filings, while geopolitical headlines also remain in focus after President Donald Trump ordered a reduction in military drills with South Korea. US stock futures are treading water this morning, with traders caught between the Federal Reserve's next move and a fresh batch of retail earnings. Dow futures dipped 0.2%, the S&P 500 nudged up 0.1% after a third straight weekly gain, and the Nasdaq-100 added 0.5%.
It's a quieter week for economic data, so the big-box stores get to steal the show. Walmart, Target, Lowe's and Home Depot all report, offering a read on how the American shopper is holding up as the back-to-school rush kicks in. The Fed remains the other half of the story.
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