U.S. stocks rose as another drop in oil prices and tepid economic data quelled inflation concerns.

The Dow Jones Industrial Average rose 160.24 points, or 0.30%, to 53577.40. The S&P 500 gained 24.42 points, or 0.32%, to 7677.28 and the tech-heavy Nasdaq Composite added 171.11 points, or 0.66%, to 26151.30.

Oil futures fell as traders weighed the relatively modest scale of a new round of U.S. economic sanctions on Iran. Oil lost $2.65, or 3.1% to close at $82.36 a barrel in New York, even after another oil tanker was struck near the Strait of Hormuz overnight.

Oil is a critical part of the inflation outlook, and Treasury yields have started to track movements in crude prices.

The yield on the 30-year bond declined 0.056 percentage point to 5.174%, the lowest yield since Aug. 5. The yield on the 10-year Treasury note fell 0.065 percentage point to 4.638% . The yield on the policy-sensitive two-year Treasury declined 0.038 percentage point to 4.195%.