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Why Facebook's IPO Flop Is Good News

Shares of the social networking giant are diving below the IPO price but the pullback could help the company in the long run by resetting expectations.

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NEW YORK (TheStreet) - The major U.S. stock indices all gained more than 1% Monday, rebounding from their worst weekly performance of 2012, as international leaders took steps to calm fears about the future of the euro.

Wall Street saw its best session since the beginning of May on a welcome dose of M&A activity with Eaton Corp.(:ETN) agreeing to buy Cooper Industries(:CBE) for $11.8 billion in cash and stock. Shares of Cooper Industries soared 25%.

News that the Chinese government plans to undertake measures to boost the world's second largest economy also helped market sentiment.

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