Friday was a challenging session for the market, with mega-cap names slipping. Retailers were higher, including Walmart (WMT), which posted its financial results today.

Materials (XLB) continue to hint at a big move. It will be the largest beneficiary of IRA cash (see chart).

Sector Watch: Materials

The sector also got a spark from financial results from Vulcan Materials (VMC).

The S&P 500 Materials Sector (XLB) has zoomed past its 50-day moving average and could be on the cusp of a monumental breakout.

This sector has lots of value, which has seen lots of false starts but seems to have the wind in its sails now.

Today’s Session

Walmart (WMT) is out with results this morning that beat on top and bottom lines. International business is on fire and e-commerce is holding up well.

• Gross margin 23.3% from 22.9% year ago
• Free cash flow $15.1 billion from $12.0 billion year ago

I broke out US comp sales, which continues to decline sequentially.

The biggest red flag is the average ticket without fuel was down 0.3%.

The stock is making a strong move ahead of the open.

More broadly, the market will open cautiously after an extra day might have had a sobering effect on some.