U.S. stocks came off earlier lows and ended mixed on Monday, with investors selling earlier on news of a disappointing pending home sales report though markets later shrugged off the data, which brought broader indices back into positive territory.
At the close of U.S. trading, the Dow 30 rose 0.13%, the S&P 500 index rose 0.03%, while the NASDAQ Composite index fell 0.10%.
The Volatility S&P 500 index, which measures the outlook for market volatility, was down 0.63% at 12.61.
Stocks pushed lower earlier after the National Association of Realtors reported that U.S. pending home sales fell 1.1% in June, disappointing expectations for a 0.5% gain.
"Activity is notably higher than earlier this year as prices have moderated and inventory levels have improved," National Association of Realtors chief economist Lawrence Yun said in a statement.
"However, supply shortages still exist in parts of the country, wages are flat, and tight credit conditions are deterring a higher number of potential buyers from fully taking advantage of lower interest rates."
The data sent investors selling stocks ahead of the Federal Reserve's policy statement on Wednesday and the July jobs report due out on Friday.
Still, after comparing the report with upbeat durable goods, weekly jobless claims and new home sales reports from last week as well as a string of upbeat earnings, stocks climbed back into positive territory for the most part.
Mergers and acquisitions news bolstered equities as well.
Dollar Tree Inc (NASDAQ:DLTR) announced plans to acquire rival Family Dollar Stores Inc (NYSE:FDO), while online real estate portal Zillow Inc (NASDAQ:Z) said it would buy rival Trulia Inc (NYSE:TRLA) for $3.5 billion in cash and stock.
Elswhere, AcelRx Pharmaceuticals Inc (NASDAQ:ACRX) failed to win Food and Drug Administration approval for its pain treatment Zalviso.
Leading Dow Jones Industrial Average performers included UnitedHealth Group Incorporated (NYSE:UNH), up 1.27%, Exxon Mobil Corporation (NYSE:XOM), up 1.16%, and Walt Disney Company (NYSE:DIS), up 1.07%.
The Dow Jones Industrial Average's worst performers included Microsoft Corporation (NASDAQ:MSFT), down 1.20%, General Electric Company (NYSE:GE), down 0.79%, and Coca-Cola Company (NYSE:KO), also down 0.79%.
European indices, meanwhile, ended the day largely lower.
After the close of European trade, the Euro Stoxx 50 fell 0.13%, France's CAC 40 rose 0.33%, while Germany's DAX 30 fell 0.48%. Meanwhile, in the U.K. the FTSE 100 fell 0.05%.
On Tuesday, the U.S. is to publish reports on house price inflation and consumer confidence.