Stocks finished mixed Monday with declines in tech shares leading the Nasdaq lower.
The Dow Jones Industrial Average finished up 358 points, or 1.3%, to 27,791 and the S&P 500 rose 0.27%. The Nasdaq ended down 0.39%, led by declines in Tesla (TSLA) - Get Tesla Inc Report and chipmaking stocks.
Stocks had opened with solid gains Monday after President Donald Trump issued executive orders, which include continued payments of up to $400 a week of supplemental federal unemployment benefits and a payroll tax deferral.
The move came as Democrats and Republicans in Congress failed to bridge significant gaps in their stimulus negotiations and as the U.S. over the weekend topped 5 million cases of coronavirus.
Treasury Secretary Steven Mnuchin told CNBC on Monday that the Trump administration was open to resuming coronavirus aid talks with Democratic leaders and would offer more aid money to try to reach a compromise.
House Speaker Nancy Pelosi said Sunday it was essential a deal be reached between Democrats and the White House.
"Right now, we need to come to agreement," Pelosi said. "We could talk about how long our provisions would be in effect, so we can take things down - instead of the end of September of next year, a shorter period of time - and we'll revisit all of it next year anyway."
Pelosi also dismissed Trump's executive orders as "illusions."
Meanwhile, China’s Foreign Ministry said it would sanction 11 U.S. citizens, including Sens. Marco Rubio and Ted Cruz, as retaliation for the U.S. move Friday to sanction Chinese and Hong Kong officials for their roles in limiting political freedoms in the city. The sanctions don't include any members of the Trump administration.
"We’re entering the week in a precarious position with the S&P 500 within earshot of an all-time high - whether it breaks through that psychologically important barrier depends on how the market is able to take looming trade tensions and Washington machinations in stride," said Chris Larkin, managing director of trading and investment product at E-Trade.