Stocks set for tentative gains
Futures higher but investors still cautious about the banking sector; oil prices rebound, European markets fall.
NEW YORK (CNNMoney.com) -- Stocks looked set for a higher start Monday, though investors remained cautious about the banking sector and oil prices moved higher.
In the last hour of trading before the bell, Nasdaq and S&P futures were higher, pulling out of negative territory, with a comparison to fair value suggesting a higher but cautious start for Wall Street.
Banks: Financial shares could come under pressure after federal regulators shut two more regional banks late Friday. The two banks, owned by First National Bank Holding Co., are due to reopen Monday as Mutual of Omaha Bank branches.
Housing: Fannie Mae (FNM, Fortune 500) and Freddie Mac (FRE, Fortune 500) were up in pre-market trading, after the Senate passed a housing rescue bill Saturday. The $300 billion housing rescue bill is aimed at helping troubled homeowners and supporting the two mortgage finance giants. But the mortgage giants were off their pre-trading highs from earlier Monday morning.
Energy: Oil prices headed higher in electronic trading. Light, sweet crude for September delivery rose 94 cents to $124.20 a barrel. The front-month contract fell Friday to its lowest point in weeks amid concerns about flagging demand.
Earnings: Dow component Verizon Communications (VZ, Fortune 500) is due to report earnings before the market open. Amgen (AMGN, Fortune 500), the world's biggest biotech in terms of sales, will report earnings after the market close.
Other companies set to report quarterly results this week include Starbucks (SBUX, Fortune 500), Exxon Mobil (XOM, Fortune 500) and Chevron (CVX, Fortune 500).
Economy: Several key reports are due out this week, including the latest readings on home prices, economic growth and the labor sector. No major readings are on tap for Monday.
Motorola: Stocks to watch Monday include Motorola (MOT, Fortune 500). The company plans to reorganize its second largest unit - home and networks mobility - into three separate businesses, the Wall Street Journal reported Sunday.
Toyota: Japanese automaker Toyota (TM) cut its global sales and output targets for 2008 amid the slumping North American market.
Unilever: Unilever N.V. (UN), one of the parent companies of consumer products maker Unilever Group, said it would be selling off its North American laundry detergent business, which includes the All, Snuggle and Wisk brands.
Other markets: Japan shares ended Monday's session slightly higher, but well off their highs for the day. European markets were lower in morning trading after a report showed consumer sentiment in Germany, Europe's largest economy, fell below its five-year low. 
