1. Dow set to open higher on the final day of the stronger third quarter
U.S. stock futures were pointing to a higher Monday open on Wall Street on the last day of the third quarter. The Dow Jones Industrial Average, as of Friday’s close, was up nearly 1.6% for September after a wild and weaker August, which was the second down month of the year. For Q3, heading into Monday trading, the Dow was up nearly 1%, needing to add another 2% or so to eclipse July’s all-time intraday high and record closing high.
2. Treasury official: US ‘not contemplating’ limiting investment into China for now
A Treasury official said over the weekend that “the administration is not contemplating” limiting U.S. investment into China at “this time.” Reports that such a plan was under consideration weighed on the Dow on Friday. Beijing called Washington’s potential restrictions “the latest attempt at a decoupling,” said state-owned media. High-level talks aimed at ending the more than yearlong trade war between the U.S. and China are set to resume Oct. 10.
3. Fed’s Charles Evans says he’s ‘open-minded’ on more interest rates cuts
Chicago Fed President Charles Evans, a 2019 policy voting member, told CNBC on Monday that he’s “open-minded” when asked about the right level for interest rates, but suggested more cuts could be needed if economic headwinds increase. Evans, noted for his dovish views at the central bank, was still upbeat on the fundamentals for the U.S. The Fed earlier this month cut rates for the second time this year.
4. Whistleblower to testify ‘very soon,’ says House Intelligence Committee chairman
House Intelligence Committee Chairman Adam Schiff said an agreement has been reached for the whistleblower at the center of the impeachment inquiry into President Donald Trump to testify before Congress. In an interview on ABC’s “This Week” on Sunday, the California Democrat said he expects the whistleblower to testify “very soon,” but the timing depends on when the director of national intelligence completes the security clearance process for the individual’s lawyers.
5. JP Morgan expects Apple shares to rise over 20% on stronger iPhone sales
J.P. Morgan increased its price target on Apple by 9% to $265 per share, which represents a more than 20% increase from where the stock closed Friday. The brokerage, in a client note Monday, said it’s “modestly raising” its iPhone volume forecasts, led by the lower-end iPhone 11. Apple also unveiled earlier this month the more expensive iPhone 11 Pro and iPhone 11 Pro Max models. J.P. Morgan also sees “three 5G enabled iPhones in September 2020.”