NEW YORK (CNNMoney) -- After a year filled with uncertainty, 2012 has so far been a strong one for stocks. Stronger economic data has helped push the Dow up more than 8% since January.
But it's not so easy for some investors to forget last year's pain. Many retail players are hanging on the sidelines, waiting for a sign that they won't get burned again.
"There is still some skepticism on the part of people who missed the rally," said Bernard Kavanagh, vice president of portfolio management for St. Louis-based broker Stifel Nicolaus. "So despite the strong initial pop, many retail investors are not in the game yet."
Couple that tentativeness with a dearth of economic news, and you have a recipe for volatile trade.
That's how Monday's session went, with little economic or corporate news on the docket. But after a morning of choppiness, stocks held onto modest gains to close the day.
The Dow Jones industrial average (INDU) gained almost 7 points, or less than 0.1%, to close at 13,239.13. The S&P 500 (SPX) rose 6 points, or 0.4%, to end the day at 1,409.75.
The tech-heavy Nasdaq (COMP), boosted by news from Apple, added 23 points for a 0.8% gain. It closed the day at 3,078.32.
Ahead of the opening bell Monday, Apple said it would pay a quarterly dividend of $2.65 a share. The company will also buy back $10 billion of its own shares over the next three years.
"This is the kind of news that will buoy confidence, especially if it's coupled with signs of life in important areas like employment," said Kavanagh, the Stifel Nicolaus analyst.
Housing will be in focus this week, with reports due on new home sales, housing starts and existing home sales.
While recent reports on the job market and the banking sector have given credence to beliefs that the economy is on the mend, the housing market is still struggling. Last month, the National Association of Realtors said home prices fell to their lowest point in more than a decade in January.
The dollar fell against the euro and British pound, and it was flat versus the Japanese yen.
Oil for April delivery gained $1.03 to settle at $108.09 a barrel.
Gold for April added $11.50 to settle at $1,667.30 an ounce.
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