DTO - Data Transfer Objects are exactly as it says, containers for transferring data. They have no behaviour but merely a bunch of setters and getters. Some people make them immutable and just create new ones when needed rather than updating existing ones. They should be serializable to allow transfer across the wire.
Generally DTOs are used to ship data from one layer to another layer across process boundries as calls to a remote service can be expensive so all the required data is pushed into a DTO and transferred to the client in one chunk (coarse grained).
However, some people use the notion of screen bound DTOs (nothing to do with crossing process boundries). Again these are populated with the required data (generally the data required for a particular screen and could be an aggregation of data from various sources) and sent to the client.
http://blog.jpboodhoo.com/CommentView,guid,21fe23e7-e42c-48d8-8871-86e65bcc9a50.aspx
In simple cases as has already been stated this DTO can be used for binding to the view but in more complex cases it would require the creation of a ViewModel and unloading of data from DTO to ViewModel which is obviously more work (when applying MVVM pattern).
So again as already stated DTO!=ViewModel
and
DTO and ViewModel have different purposes in life