Stock futures showed a modest increase on Sunday evening following the S&P 500's impressive performance during the past week, according to a report by CNBC. Futures linked to the Dow Jones Industrial Average experienced a gain of 47 points, equivalent to a 0.14% rise. S&P 500 futures recorded an increase of 0.15%, while Nasdaq 100 futures saw a rise of 0.13%.

All three major averages closed their best week of the year so far, marking a positive start to November trading. The Dow finished the week at 34,061.32, registering an impressive gain of 5.07%, the largest weekly increase since October 2022. The S&P 500 advanced by 5.85% to reach 4,358.34, while the Nasdaq Composite surged 6.61% to close at 13,478.28. Both the S&P 500 and Nasdaq recorded their strongest weekly performances since November 2022.

Market experts attribute the upward momentum to several factors, including oversold conditions, strong corporate earnings, optimism regarding the Federal Reserve's interest rate course, and a substantial decline in bond yields. A soft monthly jobs report also contributed to lower bond yields, further bolstering equity markets. Although the upcoming week is expected to be light on economic data and corporate earnings, seasonal tailwinds are anticipated to support the ongoing recovery in stocks.

November has historically been the best-performing month for the S&P 500, as noted in the Stock Traders' Almanac. Moreover, it commences the strongest six-month return period for the market since 1950, with an average return of 7% from November to April. With 400 S&P 500 companies already reporting their quarterly financial results, investors are focusing on updates from influential companies such as Walt Disney, Wynn and MGM Resorts, Occidental Petroleum, and D.R. Horton.

In addition to corporate updates, investors will closely monitor speeches from Federal Reserve Chair Jerome Powell. Last week, the Federal Reserve decided to keep rates unchanged for a second consecutive meeting as bond yields plummeted. The market is hopeful that this decision signals the end of the rate-hiking campaign.

Bharat Ramamurti, former deputy director of the National Economic Council, expressed confidence in the overall strength of the economy, stating, "If you look at the totality of the data that has come in over the last several weeks, you see an overall very strong picture. I would be surprised if the Fed was going to raise rates again this year, and this may well be the top of the hiking cycle."

Federal Reserve Governor Lisa D. Cook is scheduled to deliver a speech on Monday, while several other Fed officials, including New York Federal Reserve President and CEO John Williams, Atlanta Federal Reserve President Raphael Bostic, Richmond Federal Reserve President Thomas Barkin, and Dallas Fed President Lorie Logan, will make public remarks later in the week.

As markets enter a new week, investors will keep a close watch on these developments, eager to determine whether the recent bull run will continue and if November's historical strength will further support the recovery of stocks.