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Futures Gain Amid Euro Zone Optimism

Futures climbed Monday as stocks rebound from sharp declines last week fueled by concerns over a double-dip recession, with speculation of a rate cut by the ECB mounting in Europe.

After a weekend of being told by the United States, China and other countries they must get more aggressive in their crisis response, European officials focused on ways to beef up their 440 billion-euro ($595 billion) rescue fund.

Two European Central Bank policymakers gave differing views on the prospect of a cut in interest rates on Monday as financial markets speculated a sharp reduction could be in prospect to help stem a growing economic crisis.

Governing Council member Yves Mersch said speculation that the bank could cut rates by 50 basis points at its meeting at the start of October were "wild".

But while not addressing the issue of timing, another ECB Governing Council member, Austria's Ewald Nowotny, said cuts should not be excluded.

In company news, Boeing's long-awaited “dream” machine became a commercial reality on Sunday when the first of its lightweight plastic-cboomposites 787 Dreamliner aircraft was formally delivered to its first customer, Reuters reported.

Coca-Cola CEO Muhtar Kent said he plans to invest almost $3 billionin Russia over the next five years as part of its strategy to build its presence in big and fast-growing emerging markets.

Berkshire Hathaway announced it will launch a share buyback program following months of investors complaints the stock was undervalued. In a rare move, Warren Buffett's company said it would buy back both Class A and B shares at a premium of no more than 10 percent to book value per share.

Eastman Kodak plunged sharply after the company said it was borrowing $160 million against its credit line.

In the coming week, a string of U.S. economic reports that will offer direction for stocks, but it's the headlines from Europe will likely drive markets.

New home sales are expected to have dipped lower in August. The number is due out at 10am New York time.

Treasury Secretary Timothy Geithner is scheduled to speak in Kentucky to discuss President Obama’s jobs bill.

—Follow JeeYeon Park on Twitter: twitter.com/JeeYeonParkCNBC

On Tap This Week:

MONDAY: Fed's Bullard speaks, new home sales, Dallas Fed mfg survey, Obama LinkedIn town hall
TUESDAY: S&P/Case-Shiller home price index, consumer confidence, Fed's Lockhart speaks, 2-yr note auction; Earnings from Walgreens
WEDNESDAY: Weekly mortgage apps, durable goods orders, oil inventories, 5-yr note auction; Earnings from Darden Restaurants
THURSDAY: GDP, jobless claims, Fed's Rosengren speaks, corporate profits, pending home sales, 7-yr note auction, farm prices; Earnings from Micron
FRIDAY: Personal income & outlays, Chicago PMI, consumer sentiment, Fed's Bullard speaks

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