Crude Prices Fall, Easing Inflation Worries and Bolstering Stocks

Oil prices dropped for a second time in recent days, bringing down concerns about high inflation and supporting stock prices.

The S&P 500 rose 0.3% to edge closer to its all-time high set earlier this month, while the Dow Jones Industrial Average added 160 points, or 0.3%, and the Nasdaq composite climbed 0.7%.

Brent crude prices fell by 3.6% to $87.27 despite increased tensions between the US and Iran following new sanctions announced by the Trump administration.

The drop in oil prices helped ease worries about high inflation, which had driven up Treasury yields through the summer. Yields on the 10-year Treasury fell to 4.63% from 4.70% late Monday and from 4.74% at the end of last week.