Stocks traded mixed after investors were upset by disappointing economic data, but investor sentiment remained positive on news of the second-largest takeover ever.

The markets opened higher after First Data reported it would be purchased for $29 billion, but gains were pared on a weaker-than-expected U.S. manufacturing data.

The Dow Jones Industrial Average and the S&P 500 traded slightly higher, while the tech-heavy Nasdaq decreased slightly. Breadth was positive with gainers outpacing decliners by three to two on the NYSE.

Seven of 10 sectors in the S&P 500 rose; financial stocks such as American Express, Citigroup and JPMorgan Chase were hit by weakness on Monday while utility stocks such as Exelon moved higher.

The Institute for Supply Management said its gauge of U.S. manufacturing came in slightly weaker than expected, falling to 50.9 in March from 52.3 in February. The analysts' consensus predicted a reading of 51.1. A reading above 50 indicates growth in the sector.