Oil Prices Plummet, Wall Street Rallies on Inflation Concerns

Oil prices fell sharply on Monday, helping to ease concerns about inflation and contributing to a rally in U.S. stock indexes.

The S&P 500 rose 1% following its wild July, where it swung up and down as oil prices shot higher due to the war with Iran and worries grew about whether Big Tech's massive investments in artificial-intelligence technology would translate into profits.

Some of the strongest action was in the oil market, where the price for a barrel of Brent crude fell 5.4% to $83.17 after President Donald Trump said he decided to hold off on new strikes against Iran at the urging of allies in the region.

The decline in oil prices helped airlines and other companies with big fuel bills lead the market, with United Airlines flying 6.7% higher and American Airlines climbing 6.4%.