The Dow Jones Industrial Average (DJIA) rose on Monday, testing new all-time highs above 46,400. Despite early session volatility, the index followed broader US market gains, with all major benchmarks showing green at the start of the trading week.
Dow pushes higher after two consecutive bullish weeks
After closing higher for two straight weeks, the Dow is on track for a third weekly gain, surpassing last week’s all-time highs to reach a fresh peak on Monday. The index is up roughly 2% in September, a month historically prone to choppy equity performance.
Fed rate outlook shows widening internal divergence
Markets were greeted by multiple Federal Reserve (Fed) policymakers on Monday, highlighting a growing divergence in internal views on policy rates. Fed Governor Stephen Miran, appointed by former President Donald Trump, called the fed funds rate “200 basis points too high” and suggested that achieving net-zero immigration would strengthen the labor market and help curb inflation. This stance appears to diverge sharply from other members of the Fed Board.
Economic calendar highlights
Investors will receive a stream of economic data this week. S&P Global Purchasing Managers Index (PMI) results for September are due on Tuesday and are expected to show declines in both manufacturing and services sectors. US Gross Domestic Product (GDP) growth for Q2 will be released on Wednesday, with market forecasts pointing to steady annualized growth of 3.3%.
Friday’s key release is the Personal Consumption Expenditures (PCE) Price Index for August. Core PCE inflation is expected to ease slightly to 0.2% month-on-month from 0.3%, while the year-on-year figure is projected to remain at 2.9%, well above the Fed’s 2% target.
