By Leah Schnurr NEW YORK (Reuters) - Stocks were little changed on Monday as acquisition activity gave support but investors were reluctant to rush into the market with indexes hovering around record levels. Deals including Yahoo's $1.1 billion bid for Tumblr indicate that companies continue to search for growth through acquisitions, a bullish sign for stocks. Yahoo <YHOO.O> was up 0.8 percent at $26.73.

LONDON - HSBC PLC, Europe's biggest bank by market value, saw its profits more than double in the first quarter as it booked fewer bad loans than in the same period last year and reaped the benefits of recent restructuring measures. The bank, which has a big presence in many parts of the world including China, said Tuesday that its net profit rose to $6.35 billion in the first three months of the year from $2.58 billion in the same period of 2012.

The euro was under pressure in Asian trade Tuesday, weighed by a European Central Bank interest rate cut and poor data from the eurozone. The ECB cut its key rates to an all-time low on Thursday and bank chief Mario Draghi said the institution may launch further easing if the 17-nation bloc's economy does not improve. The bank lopped off a quarter-point to a record 0.50 percent as part of efforts to boost demand and drag the debt-stricken eurozone out of recession. The decision and Draghi's comments came after Tokyo financial markets closed for a holiday weekend.

Asian markets were mixed Tuesday, with Tokyo soaring to its highest close in almost five years after a four-day holiday weekend but with other major bourses following Wall Street's uncertain lead. Japan's Nikkei added 3.55 percent, or 486.20 points, to 14,180.24 -- its best finish since June 2008 -- as investors caught up with several positive reports from last week, including favourable US jobs data and a European Central Bank (ECB) interest rate cut.