By Sarina Trangle

Under Armour and other apparel companies are slated to report this week. John Keeble / Getty Images

This week will delve into the state of the American spender, with updates on inflation and retail spending and earnings from several consumer goods companies.

The the Consumer Price Index for April, due Tuesday, will offer the latest indication of how the prices paid by consumers are changing, with energy likely to be a closely watched category. The March CPI report a more-than-20% jump in energy prices, though it didn't trigger a jump in other prices. Oil, gas and diesel prices have surged as the war limits access to the Strait of Hormuz, a waterway typically used to transport one-fifth of the world's oil and gas supply.

Americans initially weathered $4.50 gas prices relatively well. Consumers spent 15.5% more at gas stations in March than in February, but had enough left over to fuel sales growth in several other retail categories. But there have since been signs that consumers may be growing cautious: The pace of personal spending slowed last quarter, and people spent more on cars and household equipment, potentially a bid to get ahead of expected price hikes.

Still, leaders of some major consumer companies, including Walmart and United Airlines, have said consumer spending is holding up better than headlines suggest. Starbucks posted its first quarter of income and earnings growth in two years. That said, high gas prices and stagnate wages are weighing on low-income consumers—and may be starting to slow growth at discount and dollar stores, analysts say.

Investors will also look for intel on how consumers are faring in April retail saes data, slated for release Thursday, and in earnings results. Unlike other retailers, clothing and miscellaneous stores saw sales fall last month. Investors may get fresh insight on this sector when sportswear companies Under Armour and On Holding report, as well as Birkenstock and Asics. Buy now, pay later firm Klarna is also set to hand in its numbers Thursday, and Americans have traditionally used Klarna products to buy clothing and accessories.

Market Recap

The major indexes booked another week of gains last week, with the S&P 500 and Nasdaq Composite ending Friday at record highs records. Tech stock srose on upbeat outlooks from chip and server makers, as well as signals that the White House may reach a resolution with Iran. The potential thaw in diplomatic relations weighed on the West Texas Intermediate futures, the U.S. crude oil benchmark. For more, read the Friday market recap here.

This Week's Top Events

Here's a look at the most prominent events slated for the week ahead. TradingView publishes a more detailed calendar, but clicking the link will take you off the Investopedia site.

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Source: Investopedia