By Anora Mahmudova and Barbara Kollmeyer, MarketWatch

Valeant jumps on deal news; oil, euro tumble

NEW YORK (MarketWatch) -- U.S. stocks ended Monday's choppy session roughly where they started it, as a late-afternoon rebound helped pare early losses.

A drop in oil prices weighed on energy companies. Meanwhile, a pickup in merger-and-acquisition activity in the pharmaceutical industry helped push health-care stocks slightly higher.

The Nasdaq Composite (RIXF) ended the session 5 points, or 0.1%, higher at 4,960, helped in large by a 2.7% jump in Apple, Inc. (AAPL) Monday's gain is the tech-heavy index's ninth in a row. The last time the index rose for this long was in September 2010, according to FactSet.

10 stocks that are pushing the Nasdaq to 5,000 (http://www.marketwatch.com/story/10-stocks-that-are-pushing-the-nasdaq-to-5000-2015-02-23)

The S&P 500 (SPX) closed flat at 2,109.66. Monday's trade was skewed toward defensive plays, as investors preferred utilities and health-care stocks, while staying away from telecoms, energy and consumer discretionary companies.

The Dow Jones Industrial Average (DJI) retreated from a record close notched on Friday. The blue-chip index slipped 23.54 points, or 0.1%, to 18,116.90. More than half of its 30 members finished lower. Boeing Co. (BA) was the biggest decliner, while UnitedHealth Group Inc. (UNH) led gainers.

David O'Malley, chief executive officer at Penn Mutual Asset Management, said geopolitical news has tended to dictate market direction at the open, with money flows then pushing stocks higher in afternoon trading.

"There is a 180-degree shift in sentiment in all markets. In January, investors were worried the U.S. will have deflationary problems, but the Fed eased fears with [reassurances] to be patient and data-dependent while money is pouring into equity funds," O'Malley said.

Steven Wieting, global chief investment strategist at Citi Private Bank, said investors are waiting to see the positive economic effects of falling oil prices.

"We have seen immediate effects of lower oil prices in reduced earnings and cuts in capital expenditures by energy companies, but consumers are not spending their windfall just yet," Wieting said.

Read: Three things Yellen could say to surprise investors (http://www.marketwatch.com/story/three-things-yellen-could-say-to-surprise-investors-2015-02-20)

Economic preview: U.S. economy's growth not touching all the bases (http://www.marketwatch.com/story/us-economys-growth-not-touching-all-the-bases-2015-02-22)

(http://www.marketwatch.com/story/us-economys-growth-not-touching-all-the-bases-2015-02-22) (http://www.marketwatch.com/story/us-economys-growth-not-touching-all-the-bases-2015-02-22) (http://www.marketwatch.com/story/us-economys-growth-not-touching-all-the-bases-2015-02-22) (http://www.marketwatch.com/story/us-economys-growth-not-touching-all-the-bases-2015-02-22)Monday deals: Valeant(VRX) shares surged 15% after it said Sunday that it will buy Salix (http://www.marketwatch.com/story/valeant-pharmaceuticals-to-buy-salix-for-about-10-billion-2015-02-22-161035324)(SLXP) for about $10 billion in cash, which will take it into a multibillion-dollar market for drugs that treat stomach disorders.

Bristol-Myers Squibb(BMY) shares rose 1.3% after the drug maker announced on Monday an agreement to buy privately-held biotechnology company Flexus Biosciences in a deal that could be valued at up to $1.25 billion.

3M Co.(MMM) said Monday that it has entered into a definitive agreement to buy Polypore International Inc.'s (PPO) separations media business for a total purchase price of $1 billion (http://www.marketwatch.com/story/3m-to-buy-polypore-unit-for-1-billion-2015-02-23). Polypore shares jumped 12%, while 3M was flat.

Apple Inc.(AAPL) said Monday that it will invest EUR1.7 billion ($1.92 billion) (http://www.marketwatch.com/story/apple-to-invest-19-billion-in-european-data-centers-2015-02-23-5912328) to build two data centers in Europe that will run 100% on renewable energy -- in County Galway, Ireland and central Jutland, Denmark. Shares rose 2.7%.

For more notable movers, read our Movers & Shakers column (http://www.marketwatch.com/story/dish-dillards-express-scripts-earnings-in-focus-2015-02-23).

(http://www.marketwatch.com/story/dish-dillards-express-scripts-earnings-in-focus-2015-02-23) (http://www.marketwatch.com/story/dish-dillards-express-scripts-earnings-in-focus-2015-02-23)Other markets:European stocks (http://www.marketwatch.com/story/european-stocks-higher-as-greek-bailout-extended-2015-02-23) got a lift from Greece's bailout extension, while the euro (EURUSD) fell 0.5% against the dollar after German business confidence improved for a fourth straight month in February, but less than expected.

In Asia, the Nikkei 225 index (http://www.marketwatch.com/story/japan-stocks-advance-for-fourth-day-to-15-year-high-2015-02-23) advanced for a fourth session to another 15-year high.

Oil prices (CLJ5) reversed (http://www.marketwatch.com/story/oil-rises-marginally-gains-capped-by-high-us-supplies-2015-02-23-2103192) an earlier gain and settled below $50 a barrel on Monday amid investor concerns about excess crude supply in U.S.

Gold (GCJ5) dropped $4.10 (http://www.marketwatch.com/storyno-meta-for-guid) to finish at $1,200.80 an ounce.

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