After the CPI release, markets further increased bets that the Fed will raise rates at least twice before mid-2027.

Demand at Japan's 30-year government bond auction was weak, below the 12-month average, as global fiscal-policy concerns damped bids. The bid-cover ratio was 3.36 on Tuesday, down from 3.88 at the prior auction and below the 12-month average of 3.6. A recent 10-year JGB auction also showed soft demand after yields fell, reducing investor interest. A global bond rally last week, including US Treasuries and JGBs, following a US midterm-driven tech selloff, pushed investors into safe havens and sent Japanese yields sharply lower from earlier multi-decade highs. The yield decline raises questions over whether current levels will attract buyers for ultra-long JGBs; market focus is on overall rate direction and the Bank of Japan's December meeting. Swap-market pricing implies roughly a 77% probability of a Bank of Japan rate hike in December.

Seoul must build cooperative ties with the U.S. Congress and expand engagement with U.S. state governments, South Korea's Lee said.