Friday's early trade: S&P rises above record closing high

The S&P 500 on Friday rose above its record closing high after Washington said it was close to finalizing parts of a trade pact with Beijing.

The benchmark index closed at 3,025.86 points after touching a record high of 3,027.98 on July 26. On Friday, the index touched a high of 3,027.39.

The US Trade Representative's office said on Friday that deputy-level talks would carry on, but provided no details on the areas of progress. President Donald Trump said the United States was doing "very well" in the negotiations.

"The market had been a little back and forth the last several sessions, waiting for something substantial to happen and progress in trade talks with the goal of finalizing a deal would be certainly substantial," said Andre Bakhos, managing director at New Vines Capital LLC in Bernardsville, New Jersey.

Intel Corp jumped 7.2% and was on course for its best day since January 2018 after issuing an upbeat forecast, helping lift the Philadelphia Semiconductor index to a record high.

But shares of Amazon.com Inc dropped 1.5% after the e-commerce giant forecast revenue and profit for the crucial holiday quarter below estimates, citing fierce competition.

Investors are now counting on the Federal Reserve to lower borrowing costs for the third time this year at its policy meeting next week after a clutch of poor economic data earlier in October.

At 12:59 pm ET, the Dow Jones Industrial Average was up 173.72 points, or 0.65%, at 26,979.25, and the S&P 500 was up 13.06 points, or 0.43%, at 3,023.35. The Nasdaq Composite was up 50.82 points, or 0.62%, at 8,236.61.

Boeing Co dropped 1.2% after Indonesian authorities looking into the Lion Air crash said the world's largest planemaker failed to grasp risks in the design of cockpit software on its 737 MAX jet.