Can cats tell human emotions?

My 8-year old Maine Coon Cat Jake died suddenly July 28th of cardiomyopathy. I was devastated after Jake ped, and as fate would have it, a Maine Coon Cat came into our life a week later and I adopted him to honor Jake's memory and give him a great life. Jed (our new cat) is so sweet, although he isn't really a "lap cat" like Jake was (I think this may be because he is still only a year old.) Anyway, I got Jake's ashes today, and I have been absolutely heartbroken, as it is rehashing all of the pain of his loss and I can't stop crying . Jed has noticed this, and hasn't left my side all day. Whenever I start crying, he has been actually sitting on my lap and sitting next to me, like he is almost trying to comfort me. Do you think he can tell that I am upset and is trying to console me? Also, what should I do with Jake's ashes? Should I wait till I am more at peace with his death to make a decision?