The Dow added more than a tenth of a percent to hit a record close for the third straight day; the S&P, while flat, notched its longest weekly winning streak in more than 6 years; and the Nasdaq, which added more than three-tenths of a percent, closed at its highest level in nearly two years.

But comments Friday by New York Fed President John Williams - who said it was too soon for the central bank to be talking about rate cuts - dampened some of the optimism.

His remarks came just two days after the Fed in its policy statement signaled lower borrowing costs in 2024, sparking a rally in stocks and bonds, pushing yields lower.

Luke Stone is Senior Investment Analyst at Winthrop Capital Management.

"The 10-year Treasury fell nearly 45 basis points since Wednesday, and I almost think that Fed-speak, to a certain degree, can be a policy mechanism. And this might have been a way for Governor Williams to help temper back some of the hope into to bond investors. You know, we're seeing rates almost at mid-Spring levels. And it's an unprecedented whip in Treasury rates. So, this could have just been a mechanism to help put investors back in line."

Among individual movers, shares of Costco jumped 4.5% after the retailer topped Wall Street estimates for first-quarter results due to demand for cheaper groceries.

And an index of semiconductor chips had its biggest weekly gain since May, with Broadcom and Intel each gaining more than 2% and Nvidia up more than 1%.