Inflation and consumer spending updates ahead: What to know this week

This week, Wall Street anticipates crucial economic updates, including April's inflation data and retail sales figures. The Nasdaq and S&P 500 saw gains last week, with the S&P 500 rising above 5,200 for the first time since early April. The upcoming Consumer Price Index (CPI) report is expected to show a slight decrease in inflation rates, which could influence Federal Reserve interest rate decisions.

Additionally, earnings reports from major companies like Walmart and Home Depot will provide insights into consumer spending trends. With 92% of S&P 500 companies already reported, earnings growth is notably strong. Investors will closely monitor these reports and economic data to gauge the potential impact on future market movements and Federal Reserve policies.