Retailers Face Inflation Headwinds as Fed Minutes Loom

Wall Street investors are awaiting several key economic updates this week, including earnings reports from major retailers and the release of minutes from the Federal Reserve's July meeting.

The week begins with Home Depot's latest results on Tuesday, followed by Target and Lowes on Wednesday. Walmart will report its quarterly earnings on Thursday.

These retail giants' financial updates are expected to provide insight into consumer spending habits and how households are budgeting in the face of stubbornly high inflation.

The rate of inflation remains above 3%, with gasoline prices increasing due to ongoing tensions between the US and Iran. Higher costs for goods shipped could lead consumers to adjust their spending habits, potentially impacting home improvement projects and overall retail sales.

Additionally, the minutes from the Federal Reserve's July meeting will be released on Wednesday, offering more details about the central bank's interest rate policy.