NEW YORK (CNNMoney) -- Worries about a global growth slowdown and uncertainty surrounding Europe's debt crisis kept investors on edge and trading choppy on Monday.
Still, U.S. markets ultimately closed the day not far from where they opened.
"Europe is front and center, back, left and right," said Dan Greenhaus, chief global strategist at BTIG.
Anxieties over the health of the Spanish banking system and the possibility that Greece could soon exit the euro remain high.
"Last week was so terribly negative that even the absence of negative news gives some support to the market," Greenhaus added.
Still it's impossible to ignore the fear factor still gripping the markets as 10-year Treasury yields remain near all-time record lows. That shows that global investors are willing to forego returns simply for the safety of holding debt backed by the U.S. government.
CNNMoney's Fear and Greed Index remained deeply entrenched in extreme fear territory.
There are also worries about slowing growth in emerging markets such as China and India. Recent reports out of China last week showed themanufacturing sector contracted more than expected in May.
The S&P 500 (SPX) closed flat. The Nasdaq (COMP) gained 12 points, or 0.5%. The Dow Jones industrial average (INDU) dropped 17 points, or 0.1%.
Trading was light on both sides of the Atlantic Monday, according to several traders. Investors are wary of making major moves before they know whether central bankers in Europe and the U.S. would consider further stimulus.
Investors are betting that European leaders might be willing to make tough choices to stave off larger problems in the region.
"There's a belief that with their backs against the wall, European leaders will at least come up with a short-term resolution to help the Spanish banking system," said Peter Boockvar, equity strategist at Miller Tabak.
The dollar rose against the euro and Japanese yen, but fell versus the British pound.
Oil for July delivery gained $1.07 to $84.30 a barrel.
Gold futures for August delivery lost 70 cents to $1,621.40 an ounce.
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