Stocks opened flat on Monday as investors adopted the market's big gains of last week and received news of a potential big telecom acquizition.

In morning trading, the Dow Jones industrial average increased 17.07, or 0.12 percent, to 13,924.32.

Broader stock indicators also changed slightly. The Standard & Poor's 500 index fell 0.83, or 0.05 percent, to 1,551.67, and the Nasdaq composite index fell 2.73, or 0.10 percent, to 2,704.27.

Vodaphone Group PLC denied a report by the Financial Times that it is weighing whether to make a huge $160 billion bid for Verizon Communications Inc. The newspaper reported that Vodaphone has yet to approach Verizon. Vodaphone would pursue the deal to obtain full ownership of Verizon Wireless, which Vodaphone and Verizon now own jointly.

The buyout news moved some stocks Monday, with Verizon increasing $1.28, or 3.1 percent, to $43.04. Vodaphone slipped 28 cents to $33.24.

Meanwhile, Pancake house operator IHOP said it agreed to buy fellow restaurant operator Applebee's International Inc. for about $2.1 billion. As a result, Applebee's rose 39 cent to $24.77, while IHOP increased $4, or 7.1 percent, to $60.25.

Ford denied reports that the company was in negotiations to sell its Volvo unit.  

Stocks didn’t show reaction to the New York Federal Reserve's Empire State Manufacturing Index that found regional manufacturing activity continued to improve in July.

The dollar was mixed against other major currencies and continued to hover near its record lows against the euro.

Oil prices climbed up. U.S. light crude for August delivery added 8 cents to $74.01 a barrel in electronic trading.