Trump's trade plan against China is working

Stocks enjoyed a four-week winning streak last week. It was because investors are realizing that President Trump is finally succeeding in bringing China around on trade and that the underlying U.S. economy is solid.

Through his tough use of counter-tariffs, the president has brought China to the negotiating table. Last week, China confirmed that its top trade negotiator, Vice Premier Liu He, will travel to Washington, D.C., at the end of the month. Adding to the optimism was a Wall Street Journal report that Treasury Secretary Steve Mnuchin was considering easing tariffs on China, signaling some progress in trade talks.