Minutes released from the Fed's April meeting indicated officials were unconcerned about inflation, which they saw as transitory, but may want to discuss tapering bond purchases soon.

Retail sales were unchanged in April as the boost from stimulus checks faded. An acceleration in sales is likely in the coming months with continuing economic improvements.

Initial jobless claims unexpectedly fell to another post-pandemic low last week. The decline signals steady labor market improvement as business restrictions are lifted.

Homebuilders remain confident due to strong buyer demand amidst inventory shortages, but rising costs of construction materials are weighing on housing affordability.

Housing starts fell more than expected in April, likely pulled down by soaring lumber prices. The acute inventory shortage is still supporting construction.

Weekly mortgage purchase applications fell 4% last week. The average purchase application amount hit $411,400 — the highest since February.