YAHOO [BRIEFING.COM]: Stocks overcame some choppy trade in the early going to stage a nice advance, but the move eventually lost momentum, leaving the major averages to roll over.

Stocks followed up lackluster action in the prior session with a relatively flat start today. Overseas markets failed to provide a lift as most of the major global averages moved lower following China's 25-basis point rate increase and the latest round of ISM Services readings from Europe. As for domestic data, the ISM Services Index for March came in at 57.3, which is not only down from the 59.7 that had been recorded for the prior month, but it is less than the 59.5 that had been expected among many economists polled by Briefing.com.

Despite mixed interest in the early going, buying interest gradually increased as the session progressed. The buying effort took the Dow to a new 52-week high, but the S&P 500 only came within a few points of its 52-week high.

Tech stocks had been a key source of broad market strength following news that Texas Instruments (TXN 34.69, +0.58) will acquire National Semiconductor (NSM 24.06, +9.99) for $6.5 billion, or $25 per share. The takeover price represents a premium of almost 80% above NSM's prior session closing price.

Interest among tech issues even helped Apple (AAPL 338.89, -2.30) recover from an opening drop that came in response to news that its weight in the Nasdaq 100 will be reduced to about 12% from 20% with the rebalancing of the Index.

Broad market strength began to fade a bit in afternoon trade, and some knee-jerk selling followed the release of minutes from the most recent FOMC meeting.

According to the minutes, a few members noted that evidence of a stronger recovery, or of higher inflation or rising inflation expectations, could make it appropriate to reduce the pace or overall size of the asset purchase program while several others indicated that they did not anticipate making adjustments to the program before its intended completion. Voting members also noted anticipation that recent increases in the prices of energy and other commodities will result in only a transitory increase in headline inflation.

Investor interest in basic commodities and materials plays helped the materials sector remain propped up while the rest of the market drifted lower in afternoon trade. In turn, materials stocks settled with a collective gain of 1.1% while the major equity averages settled mixed.

Commodities finished mixed today, with a slightly positive bias. Precious metals led all gainers after posting a 1.6% move to the upside. May silver futures rallied for 1.9% to close at $39.18 per ounce while June gold surged 1.4% to close at $1451.80 per ounce. Silver traded to a fresh ~31 yr high heading into the close of pit trade, while gold put in a new all-time high at $1455.50 per ounce. Both metals rallied on a flight to safety following Portugal's downgrade at Moody's and the rate hike in China.

It was another uneventful session for May crude oil, which shed 0.1% to settle at $108.34 per barrel. May natural gas shed 1.2% to close at $4.23 per MMBtu after it sold off heading into the close of pit trade.

Advancing Sectors: Materials (+1.1%), Consumer Discretionary (+0.4%), Energy (+0.3%), Consumer Staples (+0.1%)
Declining Sectors: Tech (-0.1%), Financial (-0.1%), Utilities (-0.3%), Industrials (-0.4%), Health Care (-0.5%), Telecom (-0.7%)DJ30 -6.13 NASDAQ +2.00 NQ100 -0.3% R2K +0.5% SP400 +0.4% SP500 -0.24 NASDAQ Adv/Vol/Dec 1328/1.96 bln/1270 NYSE Adv/Vol/Dec 1629/829 mln/1312