Stock market today: S&P 500, Nasdaq futures steady near record highs as Wall Street gets bullish

The economic report that is anticipated to be the focus of this week is the retail sales report, which is scheduled to be released on Wednesday. The retail sales report provides insights into the spending habits of consumers in the United States. It is considered a key economic indicator as consumer spending is a major driver of the U.S. economy, accounting for about 70% of economic activity.

By tracking the dollar amount of sales of retail goods, the report gives an indication of the health of the US consumer and the retail industry. A high reading is typically seen as positive for the economy, indicating strong consumer spending, while a low reading can signal weak consumer demand and economic slowdown4.

In the context of the current economic environment, the retail sales report will be closely watched for signs of how resilient consumer spending is in the face of high inflation and rising interest rates. It will provide important data for the Federal Reserve, which is currently deciding on its monetary policy.

Investors and analysts will be looking for clues on whether the US economy is heading towards a recession or whether it can achieve a soft landing, where inflation falls without a significant increase in unemployment or a sharp drop in economic activity. The retail sales data will also be used to forecast future economic growth and to inform investment decisions.

The Nasdaq Composite had a strong performance in the previous week's trading sessions, with the index notching a "perfect" week in Friday's session with its fifth-straight record close. This comes as the tech-heavy index has been fueled by a rally in technology stocks, leading Wall Street to revise its year-ahead targets for the S&P 500.