Updates to market close

By Noel Randewich

July 25 (Reuters) - The S&P 500 and Nasdaq notched record high closes on Friday, lifted by optimism the U.S. could soon reach a trade deal with the European Union, while Deckers Outdoor surged following a strong quarter for the maker of UGG boots and Hoka sneakers.

European Commission President Ursula von der Leyen will meet U.S. President Donald Trump on Sunday in Scotland after EU officials and diplomats said they expected to reach a framework trade deal this weekend. Trump said earlier that the odds of a U.S.-EU trade deal were "50-50".

Deckers Outdoor DECK.N soared after results beat quarterly estimates, with strong demand in international markets.

Intel INTC.O tumbled after the chipmaker forecast steeper quarterly losses than expected and announced plans to slash jobs.

Wall Street has surged to record highs in recent weeks, thanks to upbeat quarterly earnings, trade deals with Japan and the Philippines, and expectations that the White House will cement more agreements to avoid elevated tariffs threatened by Trump.

"The market has been anticipating that the deals are going to get done," said Thomas Martin, Senior Portfolio Manager at GLOBALT in Atlanta. "Personally, I have a bit more skepticism. You've got to be careful, because if they don't get done, there is more room for disappointment than there is upside."

According to preliminary data, the S&P 500 .SPX gained 26.73 points, or 0.42%, to end at 6,390.08 points, while the Nasdaq Composite .IXIC gained 53.95 points, or 0.26%, to 21,111.90. The Dow Jones Industrial Average .DJI rose 213.74 points, or 0.48%, to 44,907.65.

The S&P 500 set a closing record every day this week. The last time the index had a "perfect week" of closing highs, Monday through Friday, was in November 2021, according to Howard Silverblatt, senior index analyst at S&P Dow Jones Indices.

Investors next week will focus on the U.S. Federal Reserve, with policymakers on Thursday expected to hold interest rates steady as the central bank weighs the impact of tariffs on inflation.

Traders see about a 60% chance of a rate cut in September, according to CME's FedWatch tool.

Trump said on Friday he believed that Fed Chair Jerome Powell might be ready to lower rates. Trump made a rare visit to the Fed on Thursday after calling Powell a "numbskull" earlier in the week for failing to slash rates.

Paramount Global PARA.O dipped after U.S. regulators approved its $8.4-billion merger with Skydance Media.

Health insurer Centene CNC.N rose after it said it expects to deliver improved profitability in its three government-backed healthcare insurance businesses in 2026.

(Reporting by Nikhil Sharma and Pranav Kashyap in Bengaluru, and by Noel Randewich in San Francisco; Editing by Pooja Desai and David Gregorio)

((noel.randewich@thomsonreuters.com))