Asian stocks and oil slide as Fed hike bets jump to 54% and Brent falls 1.22% to $76.95

Markets’ concerns about a Middle East supply shock eased after the United States said it would waive some Iran sanctions and said the Strait of Hormuz remained open, sending Brent down 1.22% to $76.95 a barrel. Traders also sharply raised expectations for Federal Reserve tightening, with the implied odds of at least two 25-basis-point hikes this year rising to 54% from 15.2%. Risk assets sold off globally, with the MSCI Asia-Pacific index down 2.9% and South Korea’s Kospi plunging 8.1%. Japan’s Nikkei 225 fell 3%, while the Nasdaq slipped 1.3% and the S&P 500 lost 0.4%.