“the first stage, when just a few thoughtful investors recognize that, despite the prevailing bullishness, things won’t always be rosy, the second stage, when most investors recognize that things are deteriorating, and the third stage, when everyone’s convinced things can only get worse.”
― Howard Marks

1. Apple Unveiled New iPhone 13 Pro and Watch Series 7 — the Cupertino, Calif., tech giant revealed the iPhone 13 and a smartwatch with a new look during its annual September event, which the company streamed live on its website rather than holding in person because of Covid-19 precautions. The company said the regular version of its iPhone 13 will get 2.5 hours more battery life compared with the previous model. New features include a “cinematic mode” that allows users to capture movie-style video with greater depth using their iPhone cameras.
2. Hard-Hit Industries Renew Calls for Covid-19 Aid Amid Economic Slowdown — restaurants, live-events businesses and gyms are among industries renewing calls for Congress to provide additional financial assistance amid signs the rise in Covid-19 cases is slowing U.S. economic activity. Lawmakers from both parties have signaled support for more aid, but the prospects for a package still likely face an uphill climb as Congress grapples with other legislative priorities. Those include a $1 trillion infrastructure proposal and Democrats’ $3.5 trillion healthcare, education and climate bill. Some Republicans have also previously expressed concern about additional government spending for aid programs.
3. Democratic Tax Plan Would Hit Million-Dollar Households Hardest — households making at least $1 million in income would face a 10.6% tax increase in 2023 under House Democrats’ plan, raising their average federal tax rate to 37.3% from 30.2%, according to the nonpartisan Joint Committee on Taxation.
The committee analysis, shows that low-income households would get significant tax cuts from the proposal for the first few years, largely because of the extension of the expanded child tax credit. The House Democrats’ plan would increase corporate taxes, capital-gains taxes and individual income taxes on high-income households, though the proposed increases don’t go as far in several areas as the Biden administration has sought. House Democrats didn’t propose taxing unrealized capital gains at death or taxing long-term capital gains at the same rates as other income. Instead, they are seeking a 3% surtax on income over $5 million, limits on a 20% deduction for business owners and expansion of a 3.8% tax to hit active business income.
4. Macau Casinos See $18 Billion Wipeout as China Tightens Grip — the Bloomberg Intelligence index of the six big casino operators fell a record 23%. American operators saw the worst selloffs, with Sands China Ltd. sinking as much as 33%, while Wynn Macau Ltd. plunged 34%, both the steepest declines ever. Galaxy Entertainment Group slumped 20%, its sharpest drop in a decade. Wynn Resorts Ltd., Las Vegas Sands Corp. and MGM Resorts International sank for a second day in U.S. trading. Officials said they would change casino regulations to tighten restrictions on operators, including appointing government representatives to “supervise” companies in the world’s biggest gaming hub.
5. FDA Advisory Panel Votes Against Covid-19 Booster Shots for General Population but Endorses It for Some Groups — A Food and Drug Administration advisory panel endorsed booster shots of the Covid-19 vaccine from Pfizer Inc. and BioNTech SE for adults older than 65 years and those at high risk of severe disease, bringing the Biden administration one step closer to starting a booster campaign for millions of Americans. The outside panel voted 16-2 against advising the FDA to approve a booster dose of the vaccine at least six months after the second shot for people 16 years and older. Many panel members said they had concerns about widening booster shots for the general population with limited data about whether the additional doses would be safe and effective. Members said they would potentially support recommending a third dose for certain high-risk groups of the population such as older adults but that there wasn’t enough data to justify giving it to the general population. They said that vaccines such as Pfizer’s are holding up against severe disease.

The week ahead — Economic data from Econoday.com: