S&P, Dow Achieve All Time Closing Highs As Oil Sinks Lower

Samantha Sharf

Forbes Staff

With the Christmas holiday just three days out trading volumes were low Monday. Nevertheless the traders who were in the game sent stocks decisively higher.

The S&P 500 Index achieved an all time closing high of 2,078.54 after gaining 7.89 points, or 0.38%, for the day. The Dow Jones Industrial Average also recorded a new closing high, adding 154.6 point, or 0.87%, to finish at 17,959.4. The Nasdaq Composite gained 16 points, or 0.34%, closing at 4,781.4. Monday’s close marks four days in a row of market gains and the S&P’s 50th record high for the year. 

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Retail names performed strongly Monday. Declining oil prices are thought to be leaving households with more discretionary spending money this holiday shopping season. Standouts included TJX Cos TJX +1.79%, Kohl's KSS +1.64% andRoss Stores ROST +2.34%.

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Another standout on the upside was Facebook which gained 2% to close at $81.45, a new closing high for the social network. The jump comes on the heels of a report from Citi Friday estimating that Instagram is worth $35 billion and that Facebook stock would be fairly valued at $91 a share. (For more see, “Instagram Worth $35 Billion, Facebook Stock $91, Citi Says“.)

Among the worse performers of the days was drug maker Gilead Sciences GILD -14.34% which shed 14.3% to close at $92.90. The steep drop was the result of news that competitor AbbVie ABBV -1.09% and Express Scripts ESRX +1.7%  reached a deal to sell AbbVie’s new hepatitis C drug at a discount to Gilead’s blockbuster treatment. In many cases Express Scripts will block healthcare providers from perscribing Gildead’s product. (For more see, “Drug Price War Takes Pharma Back To The Future“.)

Oil also moved lower after Gulf OPEC members reiterated they have no plans to reel in oil supply or use other methods to bolster prices. Monday afternoon Standard and Poors Ratings Services also revised its ratings outlook from stable to negative for several major oil companies such as Houston based ConocoPhillips COP -2.06% and several European companies including Royal Dutch Shell , Total S.A. and BP .