Retailers' Earnings Reports and Fed Minutes Set to Steer Wall Street

Wall Street investors will be keeping a close eye on several key economic indicators this week as they relate to inflation and consumer spending. Home Depot is set to release its latest earnings report on Tuesday, followed by Target and Lowe's on Wednesday, and then Walmart on Thursday.

The results from these retailers will provide insight into how businesses and consumers are handling the ongoing issue of high inflation, which remains above 3%. The recent surge in oil prices, driven by the U.S. war with Iran, has led to higher gasoline costs, potentially affecting consumer spending habits.

Home Depot's report may offer clues about the state of the housing market and whether people are shifting or cutting their spending on home improvements. Meanwhile, Target and Walmart's results could provide a clearer picture of how households are budgeting and allocating their resources.

The Federal Reserve will also release minutes from its July meeting on Wednesday, offering more details about its interest rate policy. Despite holding rates steady in July amid concerns about inflation, the jobs market, and economic direction, three Fed officials dissented in favor of higher rates.