U.S. stocks ended higher on Friday, marking their best weekly performance since the November election, with the S&P 500 gaining 1% to close at 5,996.66, the Dow Jones Industrial Average rising 0.78% to 43,487.83, and the Nasdaq Composite advancing 1.51% to 19,630.20. The gains were fueled by optimism over the health of the U.S. economy and the path of interest rates, as investors anticipated policy changes under the incoming Trump administration. The S&P 500 and Dow Jones notched their biggest weekly percentage gains since early November, while the Nasdaq registered its best week since early December. The rally was supported by a decline in long-term Treasury yields and positive economic data, including a better-than-expected inflation report and strong bank earnings. The market's performance was also influenced by expectations of potential Federal Reserve interest rate cuts in 2025, with investors pricing in a higher probability of rate reductions following comments from Fed Governor Christopher Waller.