YAHOO [BRIEFING.COM]: Equities began today's session on a positive note before retreating to the unchanged line. As the European markets closed for the day, U.S. stocks lifted to session highs, but the gains did not hold into the close. As a result, the S&P 500 finished flat on low volume while the Dow shed 0.3%.

Technology stocks outperformed the broader market with Apple (AAPL 675.68, +12.45) advancing 1.9% after the tech giant won its patent battle against Samsung. Apple's competitor, and the maker of Android operating software, Google (GOOG 669.22, -9.41) slid 1.4% after the verdict. Elsewhere, Universal Display (PANL 39.26, -3.47), which has a partnership agreement with Samsung, fell 8.1% as investors showed concern over the impact of the Apple ruling on the maker of organic LED screens. The selling may have been excessive as Wedbush Securities, Cowen Group, and Goldman Sachs have all come out to defend Universal Display by saying investor concerns are overblown.

Utility stocks were among the session's top performers. Electric distributor Black Hills (BKH 34.13, +0.71) ended higher by 2.1% while Exelon (EXC 37.05, +0.22) added 0.6%. Gas utility companies were also higher with National Fuel Gas (NFG 50.34, +0.39) and WGL Holdings (WGL 40.06, +0.29) advancing near 0.8% each.

Health care stocks traded mostly in-line with the market today. However, the SPDR Health Care Select Sector ETF (XLV 38.78, +0.04) marked a fresh all-time best at $38.94. The ETF was boosted by Bristol-Myers Squibb (BMY 32.89, +0.32), Eli Lilly (LLY 44.59, +0.73), and Unitedhealth Group (UNH 54.61, +0.45) as all three posted gains near 1.5%.

Stocks in the materials space underperformed the broader market. The sector was dragged down by Freeport-McMoRan (FCX 35.65, -0.48) and Dow Chemical (DOW 29.43, -0.46), both of which were down near 1.5%. Meanwhile, Monsanto (MON 86.13, +0.79) advanced 0.9% after announcing a new testing program from the company's Integrated Farming System Platform is set to launch next year.

Multiple mergers and acquisitions were announced today.

Kenexa (KNXA 45.79, +13.40) surged 41.4% after IBM (IBM 195.69, -2.08) agreed to purchase the human resources management software maker for $1.3 billion. IBM will pay $46.00 per share of Kenexa in a transaction which represents a 42.0% premium to Friday's closing price of $32.39.

Hertz Global Holdings (HTZ 14.21, +1.06) jumped 8.1% after announcing the purchase of Dollar Thrifty Automotive Group (DTG 87.08, +6.08). The transaction which has been five years in the making values Dollar Thrifty at $2.3 billion, or $87.50 per share. This represents an 8.0% premium to Friday's closing price of $81.00. In addition, Hertz has announced an agreement to sell its Advantage unit to Franchise Services of North America and Macquarie Capital.

Hudson City Bancorp (HCBK 7.45, +1.01) soared 15.7% after agreeing to be acquired by M&T Bank (MTB 89.82, +3.95) in a $3.7 billion deal. M&T will pay $7.22 per share of Hudson City, representing a 12.0% premium to Friday's close of $6.44.

After rising up to the 200-day moving average over the past two weeks, yields have been on a steady decline. The Treasury complex continues to rally off its August lows with today's one point gain in the long bond dropping the 30-yr yield four basis points to 2.756%. Meanwhile, a more modest advance of 11/32 in the 10-yr lowered the benchmark yield three basis points to 1.647%. Tomorrow's $35 billion, 2-yr auction will be a good gauge of investor demand as it will be the first auction in over two weeks.

Crude oil traded in positive territory in the overnight session as Tropical Storm Isaac posed concerns over production in the Gulf Coast. Strength also came following reports of a fire that shut down an Iraqi crude oil pipeline to Turkey and reports of a refinery explosion in Venezuela.

However, the energy component tumbled over $3.00 into the red as the National Hurricane Center stated that the hurricane is not expected to strengthen past a Category 1 storm. The forecasted reduction of the hurricane's severity took crude's prices down to a session low of $94.41 per barrel.

Crude continued to struggle in negative territory and settled with a 0.6% loss at $95.54 per barrel. Natural gas fell off its session high of $2.74 per MMBtu and trended lower into negative territory. It settled with a 1.9% loss at $2.65 per MMBtu, just above its session low of $2.64 per MMBtu.

Gold dipped to a floor session low of $1668.50 per ounce moments before equity markets opened. However, buyers stepped in and took the yellow metal into positive territory. After trading in a consolidative pattern in afternoon action, gold settled 0.2% higher at $1675.50 per ounce, just below its session high of $1676.00 per ounce.

Silver continued last week's advance. It came off its session low of $30.80 per ounce and later popped to a session high of $31.17 per ounce. Although silver pulled-back slightly heading into the close, it settled 1.3% higher at $31.04 per ounce.

Tomorrow's economic releases are limited to the Case-Shiller 20-city Index at 9 AM ET and consumer confidence at 10 AM ET.DJ30 -33.30 NASDAQ +3.40 SP500 -0.69 NASDAQ Adv/Vol/Dec 1228/1.36 bln/1235 NYSE Adv/Vol/Dec 1422/504.3 mln/1571