Wall Street faces a defining week of data and earnings that could reshape expectations about interest rates, economic resilience and equity valuations. At the top of the agenda is Friday’s Personal Consumption Expenditures (PCE) price index, the Federal Reserve’s preferred inflation gauge, scheduled for release at 8:30 a.m. ET. Investors will be parsing both the headline and core readings for evidence that inflation has resumed a durable descent toward the Fed’s 2% goal or remains stubbornly above it.

The PCE print follows a week in which markets celebrated new equity highs and, unexpectedly, a Fed rate cut — moves that have left valuations and rate-sensitive sectors particularly sensitive to any upside surprise in inflation. “A softer-than-expected PCE would reinforce current market pricing and keep the door open for more gradual easing,” said a market strategist who asked not to be named. Conversely, a hotter reading could force a recalibration of bond yields and dent stocks that have rallied on the assumption of easier policy.

Also on Friday morning, initial jobless claims will arrive at 8:30 a.m. ET. Claims have long been a near-real-time thermometer of labor-market health; lower readings support the view of a tight jobs market and could sustain wage pressures, while an uptick could indicate cooling that reduces the urgency for further policy accommodation. Existing-home sales, due at 10 a.m. ET, offer a complementary read through a different channel. Housing is one of the most rate-sensitive corners of the economy: mortgage rates, which rose sharply off pandemic lows, have constrained buyer demand and transaction volumes in recent quarters.

Housing economists are watching sales and inventory figures closely. “If sales fall further and inventories rise, it will be hard to make the case that housing will prop up growth later this year,” said a housing economist at a regional bank. A soft housing report would also reinforce the pathway toward lower inflation via weaker rents and construction activity.

Corporate results add another layer of directional risk to the tape. Before the bell, Accenture, CarMax, Jabil, TD SYNNEX and BlackBerry are scheduled to report, while Costco and Concentrix report after the close. These releases could create stock-specific volatility and influence sector leadership, particularly in technology and consumer discretionary names that have benefited from looser financial conditions.

Retail investors who follow high-profile commentators may also monitor Jim Cramer’s Charitable Trust holdings and the Investing Club, where Cramer’s trade alerts can amplify flows into specific equities. That micro-level activity can compound volatility in otherwise range-bound markets.

Taken together, the data and earnings calendar arrives at a delicate moment: markets have priced in some policy easing after the recent Fed cut, but the durability of the rally depends on incoming evidence that inflation and growth are converging toward a soft-landing scenario. Traders and policymakers alike will be watching these three key data points for clues about whether the current calm endures or market volatility resumes.