Asian stocks and oil prices fell on Tuesday after the U.S. waived sanctions on Iran, while traders grappled with rising expectations the Federal Reserve may take more aggressive action to tackle inflation later this year. MSCI's broadest index of Asia-Pacific shares outside Japan sank 2.9%, and Brent crude slid 1.22% to $76.95 per barrel. Japan's Nikkei 225 sank 3%, while South Korea's Kospi index plunged 8.1%. The yen was flat against the dollar at 161.665 yen, again approaching its weakest levels in 40 years, and Fed funds futures are pricing an implied 54% probability of at least two 25-basis-point hikes before the end of the year, compared with a 15.2% chance a week ago.