US government bond market

US stock indices rose in early trading on Monday after falling last week.

For the week the Dow Jones and S&P 500 fell 0.5% and 0.8% respectively after rising for the previous two consecutive weeks. The Nasdaq fell 0.8%, marking the fourth consecutive week of decline.

Secondary housing market sales in the US fell 6.6% in February to 6.22 million homes on an annualised basis, according to a report from the National Association of Realtors. This is the lowest number in six months.

The Federal Reserve Bank of Chicago's economic activity index fell to its lowest level in ten months in February.

The CFNA indicator value was minus 1.09 points compared to a revised 0.75 points in January. In April 2020, the economy hit a historic low of minus 17.8 points at the peak of the negative impact of the COVID-19 pandemic.

The Dow Jones Industrial Average index was up 30.02 points (0.09%) at 32657.99.

Standard Poor's 500 rose 14.84 points (0.38%) to 3,927.94 points.

The Nasdaq Composite added 101.58 points (0.77%) to 13316.81 points.

Kansas City Southern shares soared 13.3% on Monday. Canadian Pacific Railway Ltd. has entered into an agreement to buy the U.S. company, valuing it at $29 billion, including $3.8 billion in debt. As noted in a joint press release from the companies, their merger will create the first rail network connecting the United States, Mexico and Canada.

Shares of Tesla (NASDAQ:TSLA) Inc.are gaining 3.8%. Tesla chief executive Elon Musk over the weekend rejected reports that the company's cars were being used to spy on China, assuring it that customer data was completely secure. His comments came in response to a decision by Chinese authorities to restrict military personnel and employees of key state-owned companies from using Tesla electric cars due to concerns that the data they obtain could pose a risk to PRC national security.