From yesterday's US inflation data, it did indeed fall YoY, but slightly rose MoM (although the increase is still in line with consensus expectations).
There is potential for the Fed to cut rates in September considering that inflation is under control, but there is a possibility that the Fed will look at the core PCE data which is the benchmark for the Fed to lower interest rates. (Core PCE data was released on Aug 30).
According to news on Bloomberg, there is a potential for core PCE to rise to 2.7% (vs. previously 2.6% vs. the Fed's target cut rate of 2%) => if it rises, it will have a bad effect on the market.
