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US stocks slipped on Monday in a quiet day on Wall Street as the price of oil dropped below $42 a barrel and knocked down shares of energy-related companies such as Exxon Mobil Corp. Some insurance stocks slid after the devastating tsunamis that killed more than 22,000 in several countries in South and Southeast Asia. And the dollar's drop to a fresh record low against the euro also was taking a toll on the stock market.
But retailers gained after reports of stronger holiday spending. MasterCard's SpendingPulse data found sales until December 24 were 8.1 percent higher than a year ago with its data, including both online sales and sales of gift cards.
The Dow Jones industrial average was down 10 points, or 0.09 percent, at 10,817. The Standard & Poor's 500 Index was down 1 point, or 0.09 percent, at 1,209. The Nasdaq Composite Index was down 1 point, or 0.06 percent, at 2,159.Shares of Exxon fell 1.6 percent to $51.15 and ChevronTexaco Corp was down 0.8 percent at $52.23.
Crude oil for February delivery fell $2.86 to settle at $41.32 a barrel on the New York Mercantile Exchange.
Meanwhile, the dollar resumed its decline, with the euro hitting a new high above $1.36.
Meanwhile, US Treasuries prices tumbled on Monday. The run up in bond yields pressed shares of home builders, which are sensitive to spikes in interest rates. The Dow Jones index of home builders was off nearly 2 percent at 772.40. The index fell to its lowest level since December 14.
Following the devastating tsunamis in Asia, Prudential Equity Group insurance analyst Jay Gelb said storm losses might be borne by RenaissanceRe Holdings Ltd, XL Capital Ltd and Ace Ltd, though the final damages should not be significant. RenaissanceRe fell around 1 percent to $51.08.
Among retailers, Amazon.com, Inc rose 9.5 percent to $42.61 after the online retailer said its holiday sales season was the busiest ever. Shares of Wal-Mart Stores Inc rose 1 percent to $53.09 after the world's largest retailer said it expects sales at its US stores open at least a year to be in the middle of a previously forecast gain of between 1 percent and 3 percent in December.

Copyright Reuters, 2004

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