US STOCKS-Wall Street set to open higher on trade hopes

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* Mnuchin says U.S., China close to trade deal -CNBC
* Trade-sensitive Boeing, Caterpillar rise
* Micron jumps after upbeat results
* General Mills falls on disappointing sales
* Futures up: Dow 0.30%, S&P 0.31%, Nasdaq 0.50%

(Updates prices, adds comments)
By Shreyashi Sanyal
June 26 (Reuters) - U.S. stocks were set to open higher on
Wednesday, bouncing back from a 1% drop in the previous session,
after Treasury Secretary Steven Mnuchin's comments fueled
optimism that the United States and China would finally strike a
trade deal.
"We were about 90% of the way there (with a deal) and I
think there's a path to complete this," Mnuchin said in an
interview to CNBC. Trade-sensitive industrial companies, including Boeing Co
BA.N and Caterpillar Inc CAT.N , gained about 1% in premarket
trading.
"Any good news on trade is good news for the equity markets.
As long as the two countries are negotiating, it's a good thing
and that's what is going moving markets at this time," said Paul
Nolte, portfolio manager at Kingsview Asset Management in
Chicago.
Futures, however, pared some gains after President Donald
Trump said he would impose additional tariffs on China if he did
not reach a trade deal with Chinese leader Xi Jinping.
Market participants are awaiting a planned meeting between
Trump and the Chinese president at the Group of 20 summit in
Japan on Friday.
The three main indexes fell sharply on Tuesday after the
Federal Reserve chairman pushed back on pressure from Trump to
cut interest rates. However, traders still fully expect a rate cut from the Fed
in July and see a 25% possibility of a half-point move.
The S&P 500 index .SPX has gained 6% so far in June,
hitting a record high last week, on hopes that the Fed would cut
rates to counter the impact of the trade war.
Micron Technology Inc MU.O jumped 8.6%, leading a rally
among chipmakers, which often source and supply products to
China.
The company said it had resumed some shipments to Chinese
telecoms equipment maker Huawei Technologies Co Ltd HWT.UL and
still expected demand for its chips to recover later this year.
Shares of Intel Corp INTC.O , Advanced Micro Devices Inc
AMD.O and Nvidia Corp NVDA.O rose between 1.3% and 3%.
At 8:36 a.m. ET, Dow e-minis 1YMcv1 were up 80 points, or
0.3%. S&P 500 e-minis EScv1 were up 9 points, or 0.31% and
Nasdaq 100 e-minis NQcv1 were up 38 points, or 0.5%.
Among other stocks, General Mills Inc GIS.N slipped 4.7%
after the food packaging company missed quarterly sales
estimates, hurt by lower demand for its snacks in North America.
Data from the Commerce Department showed new orders for key
U.S.-made capital goods rose more than expected in May and
shipments increased solidly, suggesting some stabilizing in
business spending on equipment after it fell early in the year.