Stocks eke out record highs but gains capped amid US-China trade pessimism

Stocks made fresh records on Monday, but market sentiment was kept in check as investors digested mixed signals around U.S.-China trade talks. The Dow Jones Industrial Average, S&P 500, and Nasdaq Composite all traded just above the flatline. Disney was the best-performing Dow stock, rising 2.7%. Real estate, utilities and consumer staples all gained at least 0.8% to lead the S&P 500 higher. However, the major averages failed to post significant gains after CNBC’s Eunice Yoon reported, citing a government source, that Chinese officials are pessimistic about the prospect of a U.S.-China trade deal. China is troubled by President Donald Trump saying recently the U.S. would not roll back tariffs as they thought both sides had agreed to do so in principle, Yoon reports.