Stock Market Today: Futures Point to a Rebound as Michael Kors Surges

NEW YORK (TheStreet) -- After last week's steep selloff that saw the Dow Jones Industrial Average plunge into the red for the year, U.S. stock futures were indicating that the broader market will resume its climb Monday.

Dow futures were gaining 48 points, or 38.63 points above fair value, to 16,464. S&P 500 futures were rising 6.75 points, or 5.9 points above fair value, to 1,925.25. Nasdaq futures were advancing 10.7 points, or 11.93 points above fair value, to3,884.

U.S. stock markets returned to calm Friday as risk-off sentiment evaporated on a jobs number that was not too cold and not too hot. 

The outlook continued to improve Monday on the surprise central bank rescue of Portugal's Banco Espirito Santo. European markets were nudging higher after the Lisbon government said BES would be split into a good bank and a bad bank. The good bank would be put up for sale for early repayment of a Treasury loan, and junior creditors would be "bailed in" -- meaning it is they, and not senior creditors or taxpayers -- who will take the losses. The rescue will be funded from money left over from Portugal's European Union and International Monetary Fund bailout during the financial crisis, which the country exited earlier this year. BES shares are still suspended from trading.

Global luxury retailer Michael Kors (KORS) was surging 12.55% to $91.97 in premarket trading after revenue jumped 43.4% to $919.2 million vs. the consensus estimate of $851.7 million. The company's first-quarter earnings increased 49.2% to 91 cents a share, beating the average analyst's estimate of 81 cents a share.

Sixty-six S&P 500 companies are expected to report this week, including 11 consumer discretionary companies and 10 energy companies. This week's calendar will also highlight the Markit PMI services index for July, June factory orders and the ISM non-manufacturing survey for July on Tuesday, and second-quarter nonfarm business productivity figures on Friday.

Stocks poised for action Monday include Evercore Partners (EVR), Walmart (WMT), HSBC (HBC), Goldman Sachs (GS), and Berkshire Hathaway (BRK.A). Investment bank Evercore Partners reached an agreement to buy International Strategy & Investment Group, a financial research firm. Walmart has begun rolling out a feature on its Web site that will show shoppers more products they may like based on their previous purchases. HSBC, which operates in 74 countries, said profit in the first half of 2014 fell 5.4% to $9.46 billion amid continuing concerns about economic growth around the world and rising geopolitical tensions. Wall Street firms led by Goldman Sachs are close to buying a stake in chat and instant messaging startup Perzo as they pursue an alternative to a similar application from Bloomberg, sources familiar with Goldman's plans told Reuters. Berkshire Hathaway, the conglomerate run by Warren Buffett, reported on Friday better-than-expected second-quarter earnings as sales growth returned, confirming a strengthening recovery in the U.S. economy.

-- By Andrea Tse in New York

Follow @AndreaTTse

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