Market confidence in the country has risen since a coalition government was established last week,after two months of political impasse.
(Read More: Italy's New Government Faces Market Test)
Among earnings, this week will be the last heavy one for first quarter results, with more than 130 of the S&P 500 companies reporting. No Dow components are due to report on Monday.
(Read More: US Companies' Earnings Beating Forecasts...So Far)
On the economic front, consumer spending and income both increased 0.2 percent in March, according to the Commerce Department. Economists polled by Reuters expected personal spending growth to be flat last month, after rising 0.7 percent in February.
Last week, data showed that the economy expanded at a tepid 2.5 percent rate in the first quarter. Still, the market was largely unaffected as investors took the weak report as another sign that the Federal Reserve will continue to provide its easy money policy through asset purchases.
(Read More: The Economy May Stink, but the Market Doesn't Care)
Also on the economic front, pending home sales report will be released at 10 am ET and the Dallas Fed Manufacturing Survey index is expected to be out at 10:30 am ET.
—By CNBC's JeeYeon Park (Follow JeeYeon on Twitter:
Coming Up This Week:
MONDAY:Pending home sales, Dallas Fed mfg survey, American Express shareholder mtg, United Tech shareholder mtg; Earnings from Express Scripts, Hartford Financial, Newmont Mining, Buffalo Wild Wings
TUESDAY: Employment cost index, S&P case-shiller home price index, Chicago PMI, consumer confidence, farm prices, IBM shareholder mtg, Underarmour shareholder mtg, Heinz shareholders vote on Berkshire buyout; Earnings from BP, Deutsche Bank, Pfizer, UBS, Aetna, NYSE Euronext, Sirius XM Radio, US Steel, DreamWorks Animation
WEDNESDAY: Mortgage applications, ADP employment report, PMI manufacturing report, ISM mfg index, construction spending, oil inventories, FOMC mtg announcement, auto sales, McGraw-Hill shareholder mtg, New York Times shareholder mtg, PepsiCo shareholder mtg, JCPenney Martha Stewart shops open; Earnings from Comcast, MasterCard, Merck, Time Warner, CVS Caremark, Chesapeake Energy, Clorox, Humana, Facebook, Visa, Allstate, CBS, Marriott, MetLife, Yelp
THURSDAY: Challenger job-cut report, ECB announcement, international trade, jobless claims, productivity & costs, natural gas inventories, Fed balance sheet/money supply, DirecTV shareholder mtg, UBS shareholder mtg, UPS shareholder mtg, Verizon shareholder mtg; Earnings from GM, Royal Dutch Shell, Sanofi, Kellogg, Beazer Homes, AIG, Gilead Sciences, Kraft Foods
FRIDAY: Nonfarm payrolls, factory orders, ISM non-mfg index, AOL shareholder mtg, Blackstone analyst mtg; Earnings from Berkshire Hathaway
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