S&P 500 posts its best week since July

Wall Street added to its recent gains Friday as stocks closed higher, driving the S&P 500 to its best week since July.

The S&P 500 rose 0.7 percent for its third straight gain and ended the week 1.8 percent higher. The Dow Jones Industrial Average rose 1.1 percent and the Nasdaq composite gained 0.5 percent.

The latest rally came as investors welcomed encouraging quarterly report cards from several companies. Leading the way for the S&P 500 was freight deliverer J.B. Hunt Transport Services, which jumped 8.7 percent after reporting stronger profits for the summer than Wall Street expected. Goldman Sachs rose 3.8 percent and Alcoa surged 15.2 percent.

The positive company earnings dovetailed with a report showing people spent much more at U.S. retailers last month than Wall Street expected. Sales at stores, restaurants and other retail establishments rose 0.7 percent from August instead of falling, as economists forecast.