Stocks rose on Friday amid renewed optimism on the progress of trade talks between Washington and Beijing as Wall Street wrapped up a stellar quarter. The Dow Jones Industrial Average closed 211.22 points higher at 25,928.68 as Boeing, UnitedHealth and Caterpillar outperformed. The advanced 0.7 percent to 2,834.40, led by the industrials and health care sectors. The Nasdaq Composite climbed 0.8 percent to 7,729.32. CarMax was the best-performing stock in the S&P 500, rallying 9.5 percent on strong earnings. Sentiment was also lifted by Lyft, as the ride-sharing company surged more than 8 percent in its first day of trading. U.S. officials said China had made proposals on a range of issues that go further than it has before — including on forced technology transfer. Treasury Secretary Steven Mnuchin also said on Friday he had a "productive working dinner" with Chinese trade officials the previous night in Beijing, as both sides restart negotiations with the hope of bringing an end to their protracted trade dispute. The world's two largest economies have imposed tariffs on billions of dollars' worth of one another's goods over the past year, battering financial markets and souring business and consumer sentiment.

Specialist trader Michael Pistillo Jr. wears a dow 23,000 hat, after the dow briefly traded above 23,000, at his post on the floor of the New York Stock Exchange in New York, October 17, 2017. Brendan McDermid | Reuters

"There is still some upside for the market" on the trade front, said Arian Vojdani, investment strategist at MV Financial. "That shadow still looms over this market. You see a lack of conviction in the market when it comes to any type of outcome because there is so much back and forth on that." "If we see a good headline come out of that, I think we will get a near-term bump," Vojdani said. "Will that translate into the long-term? That's hard to say because, regardless of whether a trade deal is struck, we're seeing a slowdown in both China and the U.S." Chinese stocks surged overnight. The Shanghai Composite gained 3.2 percent overnight to lead stock indexes in the region. In the U.S., trade bellwethers Caterpillar and Boeing were both up more than 1.8 percent. Friday's gains added to the strong performance from the quarter. The S&P 500 surged 13.1 percent for the period, its biggest quarterly gain since the third quarter of 2009. The broad index also had its best first quarter since 1998. The Dow climbed 11.2 percent this quarter — its best start to a year since 2013 — while the Nasdaq is on pace for its biggest quarterly gain since the first quarter of 2012, rising 16.5 percent.