Here's Everything You Need To Know Today

Markets continued mildly pulling back this morning after regressing a little yesterday. With no meaty data to power the price action until next week's CPI--The Street is letting this rally cool off a little for now. 

We're still very much in a 'winners and losers' era where traders reward efficiency and punish sluggishness in equal measure. But the focus has shifted back to consumer spending now that we're in the phase of earnings season where retail is the primary focus. 

Target just reported their third straight quarter of declining sales, but their results are honestly encouraging as management has shaved enough spending off of their bottom line to survive weaker consumer behavior. Target's results also are a great contrast to Walmart's earlier this year. We're seeing discretionary spending weaken considerably while overall consumer spending holds firm amidst all this inflationary pressure. U.S. consumers might be more focused on discounts thzn anything, but they're still eager to spend in any way they're capable. 

This balance is critical for keeping economic growth on track while simultaneously keeping inflation under control. Cooler spending means weaker retail stocks will suffer--but it also is a massive relief for inflationary pressure. Even though it looks like the Fed won't cut rates this month the way bulls were initially hoping, results like Target help us remain confident about the overall bull narrative for 2024. 

So, let's check out some of the main stories powering this volatile price action and stay ahead of this wild market.