The coming days will be pivotal. Look for:
- Retail earnings from Walmart, Target, and Home Depot as early warning signs of consumer spending resilience (or the lack thereof).
- Jerome Powell’s Jackson Hole speech on Friday, which will shape expectations for a September Fed rate cut—the market is almost convinced, but higher wholesale inflation could muddy the case.
- Ongoing food price changes—expect fresh waves of price hikes as inventories dwindle and retailers adjust.
The big question: Can the Fed cut rates to spur growth just as sticky inflation risks return from the supply side? Pay attention—your wallet (and your next grocery trip) may depend on it.
