Stock futures on major U.S. indices are up in the European session as investors digested the announcement of Senator Chris Dodd's financial reform bill and the steps Europeans leaders are taking to craft an aid for Greece.

A Federal Reserve announcement on the key fed funds rate is expected later this afternoon.

Futures on the S&P 500 Index are up 0.17 percent at 9:00 am EST and those on the Dow Jones Industrial Average are up 0.21  percent. 

Dodd, without any backing from Republicans, unveiled his version of the financial reform bill on Monday that includes some harsh measures against banks. 

However, U.S. bank shares rallied late Monday and in the pre-market hours on Tuesday as the bill is likely to encounter stiff resistance, particularly the parts regarding the restriction of proprietary trading and the creation of a consumer financial protection agency.

European finance ministers on Monday worked on a support plan for Greece that could be used if necessary. Although they still did not reveal any specific measures, the market cheered this progress as Greek bonds continued to climb.

In the afternoon, investors are expecting an announcement from the Federal Reserve Open Market Committee that it will keep interest rates unchanged and reiterate its promises to keep the low  level or an extended period.