Stocks Rebound as Oil Price Drop Eases Inflation Fears

Asian shares rose Thursday after oil prices plunged, aiding a recovery on Wall Street. Lower energy costs relieve inflation pressures that lead to high interest rates.

Japan's Nikkei jumped 1.5% and Australia's S&P gained 0.5%. Benchmark U.S. crude oil prices added 53 cents to $84.75 a barrel after falling $5.01 the previous day.

The S&P 500 climbed 0.8%, led by jumps in Tesla and Microsoft stocks. Yields on 10-year Treasuries pulled back from a 15-year high, helping stock gains.

Reports suggested slowing U.S. hiring and service sector growth, indicating a cooling economy. This could convince the Fed to ease up on interest rates.

House Speaker Kevin McCarthy's ouster raises odds of a government shutdown when funding expires Nov. 17, posing a risk to the economy.