KOSPI falls more than 3% as Iran strikes push oil to 5-week high

South Korea's KOSPI fell more than 3% after renewed US airstrikes on Iran pushed oil to a five-week high. The United States launched fresh airstrikes on Iran on Tuesday. Brent crude rose 1.3% to $95.91 a barrel on Wednesday. The strikes renewed fears about disruptions to the Strait of Hormuz. Westpac analysts said possible disruptions increased inflation anxiety and contributed to stock and bond market selling. DBS analysts said policymakers may need more aggressive measures to cap yields if the bond selloff does not stabilize. The US 10-year Treasury yield reached an intraday high of 4.8122%. That was its highest level in almost three years. Japan's 5-year government bond yield climbed to a record 2.295%. The MSCI Asia-Pacific Index fell 1.5%. The Nikkei 225 fell 2.6%. Bitcoin fell to $77,000. Ether fell to $2,410.73. The S&P 500 fell 0.7% overnight. The Nasdaq Composite fell 1%. Traders saw a 67% chance of a Federal Reserve rate increase at its two-day meeting ending September 16. The probability was 39.6% one week earlier, according to the CME Group's FedWatch tool. The tool estimates rate-increase odds from futures pricing.