Dow Jones Industrial Average jumps 222 points

The Dow gained 222.93 points, or 0.80%, to close at 28,004.89. The S&P 500 jumped 0.77% to end the day at 3,120.46. The Nasdaq Composite advanced 0.73% to 8,540.83. Positive commentary on U.S.-China trade talks propelled the major averages to fresh record highs.

Kudlow: A deal is 'getting close'

White House economic advisor Larry Kudlow said Thursday night that China and the U.S. were "getting close" to signing a phase-one trade agreement. That was all Wall Street needed to push stocks to new all-time highs on Friday. Kudlow's comments came after reports earlier this week suggested both sides were struggling with some of the terms in the phase-one agreement. The S&P 500 posted its sixth straight week of gains, while the Nasdaq notched a seven-week winning streak.

JC Penney, Applied Materials jump on earnings

Shares of J.C. Penney and Applied Materials jumped 6.36% and 8.95%, respectively, following the release of their latest quarterly results. J.C. Penney posted a smaller-than-expected loss while Applied Materials' earnings exceeded Wall Street estimates.

What happens next?