U.S. equities saw a cautious but positive start to the week at Monday’s opening bell, as major indexes edged higher amid optimism surrounding renewed U.S.-China trade negotiations and a headline-grabbing corporate restructuring at Warner Bros. Discovery.

At 9:31 a.m. ET, the Dow Jones Industrial Average was up 2.53 points (0.01%) to 42,765.40. The Nasdaq Composite rose 47.26 points (0.24%) to 19,577.20, while the S&P 500 added 6.51 points (0.11%) to trade at 6,006.87. The Russell 2000 led small caps higher with a 0.96% gain.

Markets opened with modest gains as investors monitored the start of high-stakes trade talks between the U.S. and China. Delegations led by U.S. Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng are meeting in London in an effort to resolve persistent trade tensions following recent accusations of breaches to the Geneva truce. The discussions follow what President Donald Trump described as a “very good talk” with Chinese leader Xi Jinping last week, setting the stage for the latest attempt to stabilize relations between the world’s two largest economies.

Both nations have continued to trade barbs in the lead-up to the meeting, with the U.S. criticizing Beijing’s curbs on rare earth exports and China pushing back against Washington’s fresh export controls and visa restrictions for Chinese students. Despite this friction, investors appear hopeful that progress in London could reduce uncertainty and pave the way for renewed economic cooperation.

Adding fuel to early trading sentiment was Warner Bros. Discovery’s announcement of a sweeping breakup plan. The company said it would split into two separate publicly traded entities—one focused on streaming and studios, including HBO and Warner Bros. Pictures, and the other on global networks such as CNN and Discovery Channel. Shares of WBD jumped 10% on the news, reflecting investor approval for the move aimed at sharpening strategic focus and unlocking value from its disparate assets.

Under the plan, current CEO David Zaslav will head the Streaming & Studios unit, while CFO Gunnar Wiedenfels will take charge of Global Networks. The restructuring, expected to complete by mid-2026, also includes a $17.5 billion bridge loan to manage Warner’s significant debt load, now standing around $34 billion.

Meanwhile, attention is turning to Apple’s Worldwide Developers Conference (WWDC), which kicks off later today. Investors are watching closely for updates on Apple’s AI strategy, branded “Apple Intelligence,” as the tech giant seeks to reassert its innovation leadership. While no major hardware launches are expected, the keynote is likely to preview updates to iOS, macOS, and other platforms, with potential AI integrations and a rumored smart home hub, the “HomePad,” also in focus.

Apple’s ability to deliver tangible progress on its AI ambitions will be critical in shaping investor sentiment, especially as rivals like Google and Samsung ramp up their offerings. Analysts warn that a vague roadmap or further delays to Siri upgrades could weigh on the stock, while a clear vision and developer tools would likely be welcomed.

As the day unfolds, markets will remain sensitive to developments in London and the tone of Apple’s announcements. With investors balancing optimism against execution risk, the early gains suggest a wait-and-see stance amid a packed news cycle.