Stock index futures fell about 1 percent on Monday as investors paused after a week when bank stress test results and optimism on the economy boosted the S&P 500 index into positive territory for the year and the Nasdaq closed out its ninth week of gains.

U.S. Bancorp and BB&T Corp and Capital One Financial Corp became the latest banks to announce common stock offerings. U.S. Bancorp aims to raise $2.5 billion, BB&T will offer $1.5 billion in common stock, and Capital One will offer $1.75 billion in common shares, all to repay TARP government investments.

U.S. Bancorp lost 6 percent to $19.34, and Capital One fell 9 percent to $28.50.

There is more paper coming into the marketplace. It will be interesting to see how much the market can bend here. We're adding another variable with yet another unknown outcome, said Andre Bakhos, president of Princeton Financial Group in Princeton, New Jersey

We have just come off a rally of almost 6 percent last week, and we're up on the year now, he continued. When there are swings of that magnitude it suggests a very emotional market.

A speech by U.S. Federal Reserve Chairman Ben Bernanke on the state of the financial system after the market closes will keep the spotlight on what's ahead for banks.

S&P 500 futures fell 9.7 points and were below fair value, a formula that evaluates pricing by taking into account interest rates, dividends and time to expiration on the contract. Dow Jones industrial average futures slid 79 points, and Nasdaq 100 futures were off 17.50 points.

American International Group Inc and the U.S. government expect a multiyear restructuring of the insurer, the Wall Street Journal said, citing an internal AIG memo.

HSBC Holdings Plc , Europe's biggest bank, said first-quarter profits were well ahead of last year, swelled by record results in its investment bank arm and gains on the value of its own debt.

On the macro side, a Chinese top central banker said the government's stimulus has worked better than expected and crude oil imports data showed a spike in demand. China's economy is seen as key to a global economic upturn.

U.S. stocks surged on Friday, lifted by reassuring jobs data and the stress test results.

Since reaching a floor in early March, the Dow Jones industrial average is up 32.5 percent, and the S&P 500 is up 39.4 percent, while the Nasdaq closed out a nine-week winning streak on Friday.

(Reporting by Edward Krudy; editing by Jeffrey Benkoe.)