[R]2:30PM NY, U.S. Market Movers[/R]

ABN Amro (ABN: chart) jumped 9.8% as speculation mounted that it could be about to reveal merger talks with the U.K.''s Barclays. The combined after merger will have a market cap of roughly $130 billion,

Acadia Pharmaceuticals (ACAD: chart) climbed 97.1% after it said a mid-stage trial of combination therapy using its schizophrenia drug had reached its main goal. The company said its drug, codenamed ACP-103, combined with either of two types of antipsychotic drugs currently used to treat schizophrenia, demonstrated statistically significant antipsychotic efficacy.

Force Protection Inc. (FRPT: chart) shares jumped 6% after the maker of protective vehicles reported fourth-quarter net earnings of $17 million, or 39 cents per share, on revenue of $62.9 million. The company announced that it recently received a contract modification from the British Ministry of Defence for 22 additional Cougar Mastiff Protected Patrol Vehicles (Mastiff PPV). The order will bring the total number of vehicles produced for the British government to 108 at an approximate value of $70.1 million.

InfraSource Services Inc. (IFS: chart) shares jumped 13.1% after the provider of construction infrastructure services agreed to be acquired by Quanta Services (PWR: chart) for $1.26 billion in stock, or $30.13 a share. The deal represents a 17% premium to InfraSource''s closing price of $25.66 on Friday. The transaction is expected to close in the third quarter.

ServiceMaster (SVM: chart) shares climbed 12.3% after the provider of pest control and lawn care services agreed to be acquired by private equity firm Clayton Dubilier & Rice for $4.8 billion in cash. The deal values ServiceMaster at $15.625 a share, representing a 16% premium to the company''s closing price on Friday. Including the assumption of debt, the transaction is valued at $5.5 billion.

Take-Two Interactive Software Inc. (TTWO: chart) shares jumped 6.5% after the video-game maker said that it may be up for sale. The company said it is reviewing certain courses of action in light of a proxy battle with an investor group. As a result, the company pushed back its annual meeting from March 23 to March 29. The shareholder group, which owns about 45% of the company, is looking to oust the company''s CEO and review the employment status of its CFO.

Accredited Home Lenders (LEND: chart) fell 14% after the company said it still had not landed a financing deal to boost its liquidity. The company said it is fighting to stay on the Nasdaq, but the exchange has warned that Accredited''s stock could be delisted because the company has not filed its 2006 annual report. Accredited said it is working to file the report as soon as possible.

Fieldstone Investment Corp. (FICC: chart) declined 12.4% after the mortgage banking company and Credit-Based Asset Servicing and Securitization LLC late Friday lowered C-Bass''s purchase price of Fieldstone to $4 per share, versus $5.53 per share previously.


[R]1:00PM NY European markets rallied, lifted by merger speculation.[/R]
European stocks finished Monday trading session on a positive note, boosted by deal speculation in various sectors. Dutch banking group ABN Amro led the financial sector higher, rising 9.5% amid press speculation that it had received a bid offer for an 81 billion-pound ($157 billion) from Britain''s Barclays. Investors believe that he acquisition bid is likely to spark a bidding war among companies interested in buying ABN Amro, including Spanish BBVA and Banco Santander, French BNP Paribas SA, and Dutch ING Groep NV. Brokers also helped the banking sector, with Deutsche Bank rising 1.7% on upgrades at Citigroup and Credit Suisse. Travel stocks were other notable gainers, with shares in Germany''s TUI up 9.6% after agreeing to merge its tourism operations with U.K.-based First Choice Holidays which soared 8.5%.The tobacco sector was also in the spotlight as tobacco firm Altadis rejected a bid of 45 euros a share from Imperial Tobacco. Altadis shares rose 6.1%, while Imperial Tobacco shares slipped 1.9%. The U.K. FTSE 100 rose 1% to 6,189.40, the German DAX 30 climbed 1.4% to 6,671.41 and the French CAC-40 gained 1.4% to 5,458.95.

Crude oil prices were little changed. Light, sweet crude April delivery traded at $57.10. Heating oil rose to $1.6901. Natural gas lost 6 cents to $6.861 per 1,000 cubic feet. London Brent rose 64 cents to $60.94. The U.S. dollar traded mixed against its major currency rivals. The euro was quoted at $1.3292, down from $1.3310. The dollar bought 117.52 yen, up from 116.74. The British pound traded at $1.9444, up from $1.9421. European gold prices rose. In London gold traded at $653.50 per troy ounce, up from $652.80. In Zurich, the precious metal traded at $651.80, up from $650.45. Silver rose to $13.15, up from $13.12.


[R]11:30AM Wall Street traded higher, boosted by merger activity. Dow rose 100 points.[/R]
U.S. stock averages traded sharply higher on Monday, with the Dow advancing by 100 points, lifted by overseas gains and a series of deal announcements including merger talk between two European banks. Dutch banking group ABN Amro (ABN: chart) jumped 9% amid reports that it is in merger talks with the U.K.''s Barclays which will make an announcement on Tuesday. The bid offer is likely to spark a bidding war with other European banks interested in buying ABN Amro. Again on the merger-and-acquisition front, Community Health Systems (CYH: chart), hospitals operator, agreed to acquire Triad Hospitals (TRI: chart) for $54 per share, or about $5.1 billion. Community Health fell 6.5%, while Triad rose 5%.

The blue-chip average was sent notably higher by strong gains for Caterpillar Inc. (CAT: chart), up 2.3%, McDonald''s Corp. (MCD: chart), up 1.4% and United Technologies (UTX: chart), up 1%.Financial shares on the Dow also contributed to the upward move, with American Express Co. (AXP: chart), up 0.5%, Citigroup Inc. (C: chart), gaining 1% and JP Morgan Chase & Co. (JPM: chart), rising 1.6%. Again on the Dow, Walt-Disney Co. (DIS: chart) rose 1.3%. The company announced on Friday a probe into its unit Pixar revealed that options had been backdated but that no one from the firm had engaged in any intentional or deliberate misconduct.

In world news, Brazil''s state-run oil company Petrobras and two partners agreed to buy Ipiranga, the No. 2 fuel distributor and refiner, in a $4 billion cash and stock deal. In late morning trading, the Dow rose 120.33, or 0.99%, to 12,230.74. The Standard & Poor''s 500 index rose 15.61, or 1.13%, to 1,402.56, and the Nasdaq composite index advanced 24.53, or 1.03%, to 2,397.19. Bonds fell as stocks made gains. The yield on the benchmark 10-year Treasury note rose to 4.56% from 4.55% late Friday.


[R]10:30AM London benchmark index is higher Monday on M&A activity.[/R]
The UK market was higher on Monday. The FTSE 100 was up 28 points at 6,158.6.

Advancers

ABN gained 7.5% while Barclays added 0.4% on reports that the UK group was interested in making a bid for the Dutch bank. First Choice Holidays rose 7.8% after the tour operator announced plans to merge with TUI of Germany. The combined group, which will be 51% owned by TUI shareholders and will be listed on the London Stock Exchange.