NEW YORK (CNNMoney.com) - Reports of the stock rally's demise have been greatly exaggerated, with September so far managing to eschew a much-predicted selloff. A torrent of economic news this week could turn the tide.
[cnn-photo-caption image= http://i2.cdn.turner.com/cnn/2009/images/09/14/wall.st.2.art.jpg caption="A street sign stands on Wall Street near the New York Stock Exchange in New York."]
On the economic front, the consumer will remain front and center: Reports are due on inflation, retail sales, housing and jobless claims. These reports are key as investors look for signs that the consumer - hit by rising joblessness, lost wealth and tighter credit - is starting to recover.
Consumer spending fuels two-thirds of economic growth. Government stimulus and a period of inventory building are expected to help the economy for the next few quarters, but experts say the U.S. is at risk for a double-dip recession by this time next year if spending doesn't return.
"The week is likely to be a competition between better economic news for August and the start of the quarterly pre-announcement period," said John Canally, Economist at LPL Financial.