Market Outlook: Key Events to Watch This Week (May 12–16)

Market Outlook: Key Events to Watch This Week (May 12–16)

As a new week unfolds, investors will be closely monitoring a series of critical economic reports and corporate earnings that could sway market sentiment. Here's what to expect in the markets this week:

? Key Highlights

• Inflation in Focus: April’s Consumer Price Index (CPI), set for release on Tuesday, will be a key gauge of inflationary pressure and could influence expectations around interest rate policy.

• Retail Sales & Earnings Spotlight: On Thursday, both U.S. retail sales data and Walmart’s (WMT) earnings report are due, offering insights into consumer behavior.

• Fed Watch: Several Federal Reserve officials, including Chair Jerome Powell, are scheduled to speak this week amid ongoing debate over rate policy and inflation.

• U.S.-China Trade Talks: Investors will also monitor updates from ongoing U.S.-China trade discussions, which resumed over the weekend.

• Earnings to Watch: Key reports are expected from Cisco (CSCO), Alibaba (BABA), Deere (DE), Take-Two Interactive (TTWO) and others.

?️ Economic Calendar

Monday, May 12

• April Federal Budget

• Remarks from Fed Governor Adriana Kugler

• Earnings: Simon Property Group (SPG), NRG Energy (NRG), Fox Corp. (FOX), Monday.com (MNDY)

Tuesday, May 13

• NFIB Small Business Optimism Index (April)

• Consumer Price Index (CPI) (April)

• Earnings: JD.com (JD), On Holding (ONON), Tencent Music (TME), Oklo (OKLO)

Wednesday, May 14

• Fed speakers: Philip Jefferson, Christopher Waller, Mary Daly

• Earnings: Sony Group (SONY), Cisco Systems (CSCO), CoreWeave (CRWV), Dynatrace (DT), Alcon (ALC)

Thursday, May 15

• Initial Jobless Claims (week ending May 10)

• Retail Sales (April)

• Producer Price Index (PPI) (April)

• Industrial Production & Capacity Utilization (April)

• Business Inventories (March)

• Homebuilder Confidence (May)

• Fed speakers: Chair Jerome Powell, Gov. Michael Barr

• Earnings: Walmart, Alibaba, Deere & Co., Applied Materials (AMAT), Mizuho (MFG), Take-Two Interactive, Cava Group (CAVA)

Friday, May 16

• Import/Export Price Index (April)

• Housing Starts & Building Permits (April)

• Preliminary Consumer Sentiment Index (May)

• Remarks from Richmond Fed President Tom Barkin

? Final Thought

With inflation data, retail metrics, and Fed commentary all on deck, this week could shape investor expectations heading into summer. Volatility may rise as markets digest signals about the health of the economy and the future path of interest rates.