Major U.S. stock indexes were up almost three percent about an hour before trading on Monday, boosted by hopes that China's $586 billion economic stimulus package will help ease the global recession. China announced plans to boost its economy through a mix of spending, subsidies, looser credit policies and tax cuts. Also boosting U.S. markets, the government on Monday provided new financial assistance to troubled insurance giant American International Group Inc., including pouring $40 billion into the company in return for partial ownership. The action was announced jointly by the Federal Reserve and the Treasury Department. Investors are also watching for developments with General Motors Corp., Chrysler and Ford Motor Co. after the automakers met with congressional leaders last week in hopes of securing financial help. Democratic leaders in Congress asked the Bush administration on Saturday to provide more aid to the struggling auto industry, which is losing money and jobs as sales have dropped to their lowest level in a quarter century. House Speaker Nancy Pelosi and Senate Majority Leader Harry Reid said in a letter to Treasury Secretary Henry Paulson that the administration should consider expanding the $700 billion bailout program to include car companies. Dow futures jumped 184, or 2.72 percent, to 9,180. Standard & Poor's 500 futures rose 19.70, or 2.10 percent, to 955.90. Nasdaq 100 index futures added 28.75, or 2.23 percent, to 1,317.25.
