Tuesday morning's big earnings report was from Walmart, and the results have been trumpeted as impressive: Profits were up 5.7%. But a closer look at the numbers, and a careful consideration of recent retail history, suggests that the world's largest retailer is a fading giant.
Next week brings more earnings reports from big-name companies, including several home improvement giants, a couple of "good enough" computer makers, penny-pinching discount masters, and office supplier Staples -- whose results might stand as an indication of the broader economy's health.
With unemployment rising and second-quarter GDP likely to be revised downward, the S&P 500 stock index may be heading below 1,000 in the next month from the 1,079 close on Aug. 13. The key data may be Wal-Mart and Home Depot's earnings.