US stocks end strong week on an up note

US stocks finished a buoyant week on an up note, with the tech-rich Nasdaq enjoying the biggest gains thanks to Apple.

The Dow Jones advanced 33.74 points (0.20 percent) to 17,084.49, while the broad-based S&P 500 added 1.46 (0.07 percent) at 2,014.89.

The Nasdaq Composite Index climbed 19.68 (0.41 percent) to 4,830.47, lifted by a 2.4 percent gain in Apple.

Analysts said investor sentiment had improved thanks to rising confidence the US Federal Reserve will hold off on hiking interest rates until next year.

"Investors want to rally on the idea the Fed is on hold at least for the foreseeable future and the economy is still doing OK and rates are going to remain low for a considerable period of time," said Alan Skrainka, chief investment officer at Cornerstone Wealth Management.

Shares of large banks were lower, including Bank of America (-1.1 percent), Citigroup (-0.5 percent) and Wells Fargo (-0.8 percent). Higher interest rates lift bank profits.

Alcoa tumbled 6.8 percent after it reported, after markets closed Thursday, a 70.4 percent drop in third-quarter earnings to $44 million. The metals giant trimmed its outlook for key Chinese businesses.

American Airlines surged 6.7 percent, while United Continental climbed 6.6 percent after both companies reported higher customer traffic in September.

Youth-oriented apparel retailer Gap slumped 5.3 percent as September comparable sales fell one percent compared with the year-ago period.

Electric car manufacturer Tesla Motors lost 2.7 percent after the company was downgraded by Barclays, which cited the company's engineering challenges and predicted a slow production ramp-up.

International Paper gained 5.2 percent after announcing it will sell its 55 percent stake in its Chinese coated-board joint venture to its Chinese partner, Shandong Sun Holding Group for about $23 million. The transaction will also permit International Paper to remove about $400 million in debt from its balance sheet.

Bond prices rose. The yield on the 10-year US Treasury fell to 2.09 percent from 2.10 percent Thursday, while the 30-year dipped to 2.92 percent from 2.94 percent. Bond prices and yields move inversely.