U.S. futures are climbing Monday following a Friday session in which the Dow Jones Industrial Average and S&P 500 snapped a five-day losing streak. U.S. securities were helped by a rally in European indices that was predicated by an unexpected jump in European banking stocks.
Goldman Sachs (GS), up 3.9%, and JPMorgan Chase (JPM), up 8.9%, led the U.S. rally higher. JPMorgan's climb was spurred by CEO Jamie Dimon's surprise insider purchase of 500,000 shares of the company's stock for more than $25 million. The move gave investor's confidence in the banking stock that had fallen over 15% year to date.
Financial stocks on the S&P gained 4%, more than doubling the index's own 1.9% rise.
Despite the Friday rally, U.S. indices posted their fifth week of losses out of six.
Oil prices also helped lead the way up, with West Texas Intermediate crude rising 12.3% to close at $29.44 per barrel on Friday. WTI was rising about 0.7% Monday.
Looking ahead to the coming holiday-shortened week, TheStreet's Jim Cramer told his "Mad Money" viewers that he will be looking ahead for Hormel Foods (HRL) earnings results on Tuesday.
(Read chartist Bruce Kamich's take on Hormel.)
On Wednesday, Cramer will be watching the earnings releases of Dr. Pepper Snapple (DPS), Priceline (PCL), and T-Mobil (TMUS). On Thursday, Cramer will be watching Wal-Mart (WMT) and Six Flags (SIX), both of which he is bullish on. On Friday, Cramer said that he will be avoiding John Deere (DE) while VF Corp (VF) could be intriguing.
This weekend, Barron's cover story centered on the U.S. Presidential race. Barron's contributor John Kimelman wrote that the specter of a Donald Trump or Bernie Sanders presidency may be hurting markets.
"If Donald Trump, a real-estate developer and television star, gets elected, however, and brings his reality show to 1600 Pennsylvania Avenue, the Free World could have a shoot-from-the-hip leader who carries through on threats to punish China and other trading partners with tariffs to level the playing field. Many economists view such protectionist measures as a cause of the Great Depression," Kimelman wrote about the current Republican front-runner.
"If the more earnest Sen. Sanders of Vermont, who bested Clinton by a wide margin in last Tuesday's New Hampshire primary, were to win the White House, the U.S. would have a professed democratic socialist at the helm, with a long list of ambitious but expensive goals, such as single-payer national health care, free tuition at public colleges, and a major federal bridge-and-highway-construction effort," Kimelman said of the Democratic underdog.