U.S. stocks posted modest gains on Monday, recovering part of last week's losses in a session marked by cautious trading as investors reacted to mixed economic data. Bobbi Rebell reports.
Mixed economic data weighed on investor sentiment as stocks bounced back from losses earlier in the day. Investors cautious in a week studded with economic data, ending Friday with the key jobs report. Construction surged in April, and manufacturing activity picked up last month. But consumers kept pinching pennies, leaving consumer spending unexpectedly unchanged in April. After months of talks, Intel is buying programmable chip maker Altera for $16.7 billion, or $54 a share. Altera had earlier rejected Intel's offer for that same price in April. Altera's shares were the biggest gainer among S&P 500 stocks; Intel was the biggest decliner on the Dow. Moor Insight analyst Patrick Moorhead: SOUNDBITE: PATRICK MOORHEAD, ANALYST, MOOR INSIGHTS & STRATEGY (ENGLISH) SAYING: "I think it's really simple in that Altera went out, tried to shop it around didn't get a better deal. Intel stood their ground." A number of cancer drugs surged after reporting positive data at a medical conference. Bristol-Myers Squibb's shares rallied one day after a study found that a combination of two of its immunotherapy drugs worked better to treat advanced melanoma than either drug alone. The drug maker said Monday the FDA accepted its marketing application for the regimen and granted priority review. A winning day for Microsoft stock. The world's largest software company set a date: July 29 for the launch of its Windows 10 operating system. It will be a free upgrade, available in 190 countries, and will run across PC's tablets and smartphones- a move aimed at winning over mobile users. GE shares gave ground. It is putting part of its U.S. commercial lending assets up for sale as it shrinks its finance business. In Europe shares were mixed with the FTSE 100 closed in the red.