Falling oil prices help calm Wall Street's inflation worries, while chip stocks get back to sinking

Oil prices eased Monday, helping calm Wall Street’s concerns that inflation could worsen, though markets still saw sharp swings. The S&P 500 rose 0.6% after July’s volatility, when prices fluctuated alongside higher oil costs tied to the war with Iran and worries about whether Big Tech’s artificial-intelligence spending will translate into profits. The Dow gained 624 points, or 1.2%, by 9:35 a.m. ET, while the Nasdaq climbed 0.6%. In energy, Brent crude fell 4.9% to $83.65 per barrel. The move followed President Donald Trump saying he would hold off on ordering new U.S. strikes in Iran, at allies’ urging. Treasury yields fell, with the 10-year note down to 4.68% from 4.75%. Airlines rose on lower fuel bills, while chip stocks sank amid doubts about AI-driven earnings sustainability.