The latest Market Talks covering FX and Fixed Income. Published exclusively on Dow Jones Newswires throughout the day.

0230 GMT - The Reserve Bank of Australia is unlikely to tighten monetary policy further, given signs that Australia's underlying inflation is no longer quickening, Capital Economics' Abhijit Surya says in a commentary. "Measures of core inflation didn't strengthen any further in August, supporting our view that the RBA's tightening cycle is likely at an end," the senior APAC economist writes. Both trimmed mean and weighted median inflation were unchanged at 3.6% in August, Surya notes. The RBA "is likely to remain in wait-and-see mode in the near term, as it looks for confirmation that disinflation will in fact take hold over the coming months," the economist adds. (ronnie.harui@wsj.com)

0209 GMT - The pace of trade negotiations and China's rare-earth exports to the U.S. are key near-term indicators of U.S.-China relations to watch, BofA Securities says in a note. The September Trump-Xi summit followed only one formal negotiating round, compared with five ahead of the October 2025 summit, the bank notes. "A faster cadence over the next three months would improve the prospects for a broader agreement by the Jan. 10 deadline [of trade truce]," it writes. Potential leader-level meetings at the APEC summit in Shenzhen in November and the G-20 summit in Miami Dec. 14-15 are scheduled opportunities for high-level engagement before the truce expires. The U.S. midterm elections in early November will also be on investors' radar. (tracy.qu@wsj.com)

0023 GMT - Short-term JGBs edge higher in the early Tokyo session, tracking overnight price gains in similar-dated U.S. Treasurys. Both JGBs and Treasurys tend to move in tandem. For today, investors may focus on the Japanese Finance Ministry's auction of about 2.8 trillion yen of two-year sovereign notes. "Although upside risks to yields remain, demand is likely to emerge as 2y JGB yields approach the 2% level," SMBC Nikko Securities' Lisa Mochizuki says in a research report. "We therefore expect the auction to clear smoothly," the junior analyst adds. The two-year JGB yield edges 1 bp lower to 1.950%. (ronnie.harui@wsj.com)

2346 GMT - Japanese stocks may rise after oil prices fell overnight, easing fears about rising inflation and fast-paced rate increases by global central banks. Nikkei futures are up 0.9% at 66350 on the SGX. The dollar is at 157.41 yen, compared with Y157.34 as of Tuesday's Tokyo stock market close. Investors are focusing on developments in the Middle East, crude oil prices and bond yields. The Nikkei Stock Average fell 0.6% to 65481.27 on Tuesday. (kosaku.narioka@wsj.com)

2342 GMT - Asian currencies consolidate against the dollar in early trade but may be aided by reduced bets for Fed rate increases. "New York Fed President Williams said one further rate hike may be appropriate late this year, though he signalled no urgency to act following the [rate] increase earlier this month," CBA's Joseph Capurso says in a research report. Hence, market pricing for a 25bp rate increase at next FOMC meeting in October declined to 49% from 71% previously, the head of Foreign Exchange, International & Geoeconomics adds. The U.S. dollar is little changed at 1,352.15 won while the Australian dollar is steady at US$0.6985, LSEG data show. (ronnie.harui@wsj.com)By Joseph Wilkins and Kirk Maltais Bitcoin stayed afloat after rebounding from a one-week low reached on Monday as 30-year bond yields soared to their highest level since 2002.

The flagship cryptocurrency inched up 0.1% at $83,574 on Tuesday. It's a rebound from the low of $82,516 reached the previous day, according to LSEG data, but off from an intraday high of nearly $84,500.

Bitcoin continues to pull back from the near eight-month high of $87,315 reached last week. The source of much of the pressure came from yields that found a 24-year high Tuesday, in turn strengthening the U.S. dollar and making assets such as gold and cryptocurrencies less attractive for investors.

But easing the pressure was comments from the Federal Reserve casting some doubt on further rate hikes coming when the Fed meets in October. New York Fed President John Williams said Tuesday that the central bank could wait until December before raising interest rates again.

Even so, the trend of bitcoin is that the heralded return of the "bull market" is already in trouble, said analysts with CryptoQuant in a note. "The rally is running out of steam," said the firm, adding that profit-taking is being seen in the short term.

The firm said that the next support level for bitcoin is seen at $80,000, the 365-day market average. Avoiding that will require strong demand on the spot market pushing past the $87,000 mark.

"Any advance must be carried by spot demand," analysts with Bitfinex said.

The upcoming midterm elections in the U.S. may become another pressure point for bitcoin prices, with bitcoin shedding 37% in November 2018 and 16% in November 2022, said Vanessa Grellet, managing partner with Arche Capital.

But the macro situation in those two years is different than where it sits now, Grellet adds.

"The triggers were crypto-specific and the election simply coincided with the bear market's final flush," she said.