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By Kristin Myers, Editor-in-Chief

What's Happening Today

Stocks are rising today ahead of the release of the Federal Reserve's policy meeting minutes from earlier this month. Investors often read the minutes of the meeting to get a better sense of the Fed's future plans. If investors believe that the Fed will fight inflation while avoiding a recession, it could help soothe volatility in the markets, which has been driven over concerns about rising prices and an economic slowdown.

Inflation woes have triggered sell-offs led by earnings in the retail sector. Companies have been sounding the alarm over rising costs and their impact on company profits, adding to market volatility. Shares of Target, Walmart, Abercrombie & Fitch, and Dick's Sporting Goods all took a tumble in the last several trading sessions following the release of their earnings reports.

Data from Fed fund futures (financial contracts that reflect market opinion on interest rates) show most investors believe the Fed will hike interest rates by half of a percentage point in June, and will not be more aggressive in the future.

Despite red hot inflation, consumer spending on durable goods, or big-ticket items like appliances and electronics, rose by 0.4% last month, according to the Census Bureau's latest report this morning. That rate of spending is lower than March's revised 0.6% gain, though, showing that shoppers are reconsidering purchases due to the higher costs.

- Kristin

Editors' Picks

Fed Searches for the Magic Number To Cool a Red-Hot US Housing Market (The Wall Street Journal)

Stocks Slide as Market Watches for Bears (The Balance)

Biggest US Ports Rank as World's Least Efficient for Containers (Bloomberg)

India, the World's Largest Producer of Sugar, Is Restricting Exports (CNN)

Simple Advice for Young Investors (The Balance)

Higher Mortgage Rates Lead to Fewer Takers (The Balance)

Where To Find Free Check Registers and How To Use Them (The Balance)

Off the Charts

The recent spike in borrowing costs is turning off homebuyers. A chart shows the volume of mortgage applications hasn't been this slow since the pandemic's early days.

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Number of the Day

440,000—That's how many new homes were for sale at the end of April—the most since 2008 and the latest sign that the rapid price increases of the pandemic era may soon be over.