The stock market was flat today as investors braced for the release of the Federal Reserve’s minutes. The Dow Jones Industrial Average dropped by nearly 700 points as retail earnings disappointed.
Walmart and Home Depot both released their earnings reports, giving a cautious outlook for the future. Walmart posted strong sales but warned that customers were spending more on basics than on discretionary items. Home Depot also reported strong sales but cautioned that the housing market was slowing down.
Analysts are warning that when earnings are above trend, it may not be good news. They believe that companies may be artificially inflating earnings with cost-cutting measures that are not sustainable in the long run.
Overall, the stock market is facing headwinds, with investors concerned about the economic outlook. This comes as the Federal Reserve is set to release its minutes, which could give more insight into the state of the economy.