NEW YORK – U.S. stocks closed higher after an abbreviated session Friday, with the S&P 500 and Nasdaq Composite at fresh 4½-year highs and retailers like Wal-Mart Stores and Best Buy in focus as the Christmas shopping season got under way.

The Dow Jones Industrial Average closed up 15.53 points at 10,931.62, marking an eight-month high. The day’s gains marked the sixth consecutive higher close.

The S&P 500 rose 2.64 points to 1,268.25 and the Nasdaq Composite advanced 3.03 points to 2,263.01.

The Dow rose 1.5 percent during the holiday-shortened week, while the S&P 500 and Nasdaq Composite both racked up 1.6 percent gains.

There were more than 539 million shares traded on the New York Stock Exchange, where declining stocks outpaced rising shares by 18 to 12.

More than 645 million shares traded in the Nasdaq market, with 14 advancing shares for every 13 declining stocks.

The market closed at 1 p.m. EST. Commodities markets were closed, but stocks, foreign exchange, and Treasurys markets were open. There were no scheduled economic reports to lend direction to trading.

All eyes were trained on the retail sector because the Friday after Thanksgiving traditionally marks the start of the Christmas shopping season.

Investors are eager for data and anecdotal evidence about how much investors are spending because consumers remain one of the engines of the economy.

“Everyone is trying to get a handle on retail sales to see how good they are,” said Jim Awad of Awad Asset Management. “Money managers would like to keep the rally going. If retail sales look good, money managers will look for the market to have a good close for the year.”

However, Robert Pavlik, chief investment officer at Oaktree Asset Management, said, “There is increased concern that the market is getter ahead of itself. We’ve come so far so fast and the market has not had a chance to consolidate. The question for next week is whether we will get a continuation of the rally or a selloff.”

The dollar was higher, trading up 0.9 percent at 119.62 yen, as the euro fell 0.09 percent to $1.1711.

The yen was hurt by disappointing Japanese consumer price data, according to Stuart Scrase, a senior foreign exchange trader with CMC Markets.

“Japanese CPI failed to show any inflationary pressures despite the fact that expectations were suggesting otherwise,” Scrase said. “Once again this is pushing the Bank of Japan’s plans to start tightening monetary policy back somewhat and the return of the dollar to above 119 yen is clearly linked to this news.”

Treasurys were rallying, sending yields to their lowest level in nearly four weeks. The gains were linked to expectations that the Federal Reserve could end its interest-rate hiking cycle in early 2006. The benchmark 10-year Treasury note last was up 10/32 at 100 18/32 with a yield of 4.430 percent.

Shares of iPod maker Apple Computer (AAPL) closed 3.2 percent higher at $69.28. The iPod figured prominently in online retailer Amazon’s (AMZN) just-released list of its top-selling holiday items in various categories for the three weeks from Nov. 1 to Nov. 22.

Dow industrials component Wal-Mart Stores (WMT) gave up initial gains to close down 8 cents at $50.49 on the first day of the holiday shopping season.

Electronic goods retailer Best Buy (BBY) shot 0.3 percent higher to $50.63, while Urban Outfitters Inc (URBN) fell 2.5 percent to $32.57.

Among other retailers, Target Corp. (TGT) rose 13 cents to $55.23, Kohl’s Corp. (KSS) ended up 13 cents at $49.20 as Sears Holdings Corp. (SHLD) dropped $2.45 to $118.71.

Taser International (TASRE) fell 13 percent to $6.48. The stun-gun maker was told by the Nasdaq Stock Market that its shares could be delisted because its third-quarter report is delayed. The company said it will appeal.