A clutch of data is also ahead, including a manufacturers’ survey and a home builders’ index. Later this week, investors will also get a Federal Open Market Committee meeting.
Futures for the S&P 500 index rose by 11.6 points, or 0.6%, to 1,844.50, while those for the Dow industrials jumped 95 points, or 0.6%, to 16,087. Futures for the Nasdaq-100 rose 26.25 points, or 0.7%, to 3,646.25.
The exit polls reported , more than 96% of Crimeans voted to break away from Ukraine on Sunday.The vote itself went exactly as was expected, but Friday’s risk aversion wasn’t based on how the vote would go, it was down to the uncertainty around how the West would respond. As yet, there has been no response which is why we’re seeing that relief rally this morning.
Western leaders are expected to further discuss sanctions for Russia in the wake of the referendum they deem illegal, and U.S. officials could deliver on a first round on Monday. Volatility is still going to be a factor for markets, with tensions between Russia and the West potentially proving a trigger for that “at any moment.”
Data coming out today will provide some distraction for investors. The Federal Reserve survey of manufacturing in the New York area, the Empire State index, for March will be released at 8:30 a.m. Eastern Time. The index is expected to rise to 5.4 after dropping to 4.5 in February. It soared to 12.5 in January, the highest level since May 2012.
Industrial production and capacity utilization data for February will be released at 9:15 a.m. Eastern Time, while the home builders’ index for March is due at 10 a.m. Eastern.
Shares rose across Europe, with the Stoxx Europe 600 up 0.6% and emerging markets getting a bump. Russia’s blue-chip MICEX index climbed 0.7% after a drop of more than 7% last week.
Asia, meanwhile, saw a mixed session, with some indexes pulling back on Ukraine worries. But the China Shanghai Composite climbed 1%, led by property, auto and cement companies, after the government reportedly outlined urbanization-spending plans. Copper , which has been under pressure recently over worries about the Chinese economy, rose 1 cent, or 0.4%, to $2.962 a pound.
China also over the weekend widened its yuan-trading band to 2% against the dollar, a move that may just bring about more yuan weakness.
As investors moved into stocks on Monday, prices for gold fell, while the dollar regained some ground as investors shifted away from perceived safe haven of the Japanese yen.