Equity markets were flat on Monday as traders brace for a big week for stocks. Not only is the October read of the CPI due, but there is a raft of earnings reports from the retail sector and Retail Sales data on the calendar. The market expects to see weakness in consumer spending and may not be disappointed. The latest data from the NRF shows retail sales contracting for the 2nd month. Retailers slated to report earnings include Home Depot, Target, Walmart, and the TJX Companies.

The S&P 500 is poised to advance, given an excuse to do so. That may come with the CPI data, which is expected to show cooling inflation compared to last year. If the figures come in cooler than expected, specifically at the core level, the market will most likely rally on renewed hope that the FOMC has reached the cycle's peak. If not, the market may be capped near recent highs and enter another correction before the end of the year.