Nasdaq closes flat after tech shares lose steam

• The tech-heavy index closed flat at 7,119.80 as Apple, Netflix and Alphabet all pulled back.
• Earlier, it rose more than 1 percent on the back of strong earnings from Amazon.
• "It seems like we've reached a peak in momentum," said Daniel Deming, managing director at KKM Financial. "We cleared Wednesday and Thursday with strong earnings but people are still asking: 'Now what?'"

The Nasdaq composite erased a sharp gain on Friday as technology stocks gave back rolled over while Amazon slipped from a record high set earlier in the session.

The tech-heavy index closed flat at 7,119.80 as Apple, Netflix and Alphabet all pulled back. Earlier, it rose more than 1 percent on the back of strong earnings from Amazon. Tech shares initially rose broadly before falling 0.3 percent as a sector.

Meanwhile, the Dow Jones industrial average closed 11.15 points lower at 24,311.19 while the rose 0.1 percent to 2,669.91.

"It seems like we've reached a peak in momentum," said Daniel Deming, managing director at KKM Financial. "We cleared Wednesday and Thursday with strong earnings but people are still asking: 'Now what?'"

A trader gestures while working on the floor of the New York Stock Exchange (NYSE) in New York.

Scott Eells | Bloomberg | Getty Images

Overall, the earnings season has been mostly positive. Of the S&P 500 companies that have reported quarterly results thus far, 79.4 percent have topped analyst expectations, according to FactSet.

Microsoft and Intel both reported better-than-expected earnings and revenue Thursday after the bell, while Chevron and Colgate posted quarterly profits that beat expectations on Friday. Microsoft ended the session 1.7 percent higher, while Intel declined 0.6 percent. Chevron and Colgate gained 1.9 percent and flat, respectively.

In economic news, the U.S. economy grew by 2.3 percent in the first quarter, the Commerce Department said. Economists polled by Reuters expected a gain of 2 percent.

"This coupled with one of the best earnings seasons in years should please bulls looking for an economic win," said Mike Loewengart, VP of investment strategy at E-Trade.

Overseas, Asian stocks rose broadly as the leaders of South and North Korea met at the border between the two countries for historic face-to-face discussions. The Korean KOSPI index rose 0.7 percent, as did the Japanese Nikkei 225.

The talks are expected to ease tensions between the two nations, with the two leaders on Friday having pledged to remove the risk of war and collaborate in order to secure complete denuclearization of the Korean Peninsula.