U.S. stocks fell in choppy trading on Monday. At the closing bell, the Dow Jones Industrial Average and S&P 500 each dropped 0.5% and the Nasdaq Composite moved 0.2% lower. Energy and utility names led the way lower on the session, while the health care sector ticked higher. Elsewhere, the yield on the benchmark 10-year U.S. Treasury note jumped 11.4 basis points, to 2.262%.
Rosetta Resources (ROSE) was the big winner on Monday, gaining 27%. The company received a $2.1 billion stock takeover offer from Noble Energy (NBL). For its part, Noble fell 6% on the session.
In after-hours action, Rackspace (RAX) is trading 11% lower after management posted quarterly results. Gap (GPS) is also down 2% after reporting a wider-than-expected 12% same-store sales decline for April.
Looking ahead to Tuesday morning, it will be relatively quiet on the economic front. Encana (ECA) and International Flavors & Fragrances (IFF) headline the earnings calendar.