Bulls Spring Into Action

Updated from 4:15 p.m. EST

Buyers came off the sidelines Thursday and bid up U.S. stocks despite a sizable advance in the price of crude oil, lifting the Dow Jones Industrial Average to its best-ever finish.

After a sluggish start, the Dow took off and closed higher by 99.26 points, or 0.81%, at 12,416.76, marking another record in a quarter that's seen the index repeatedly set new benchmarks.

Only three of its 30 components failed to end in positive territory. Pacing the industrials were American Express (AXP Quote) and DuPont (DD Quote), both of which added more than 2.7%.

United Technologies (UTX Quote) was one of few drags, falling 3.4%.

Meanwhile, the S&P 500 rose 12.28 points, or 0.87%, to 1425.49, its highest level in six years, and the Nasdaq Composite was up 21.44 points, or 0.88%, to 2453.85.

About 2.77 billion shares changed hands on the New York Stock Exchange, and advancers outpaced decliners by a 5-to-3 margin. Volume on the Nasdaq was roughly 1.96 billion shares, with winners beating losers 3 to 2.

"It's the end of the year, and we're seeing that Santa Claus rally we heard so much about," said Art Hogan, chief market analyst with Jefferies. "The path of least resistance is to the upside in the absence of a negative catalyst. There was no corporate news or any news otherwise that could stop the advance. There's a lack of sellers."