The S&P 500 fell 0.6% to 6,460.26, the Dow Jones Industrial Average slipped 0.2% to 45,544.88, and the Nasdaq Composite lost 1.2% to 21,455.55. July PCE inflation held at 2.6% year over year while core PCE rose to 2.9%, the highest since February. Derivatives pricing from CME Group put the probability of a 25-basis-point rate cut in September near 87% after Chair Jerome Powell signaled that an easing move is possible. Technology shares led declines as Dell dropped about 9%, Marvell tumbled roughly 18%, and Nvidia, Broadcom and Oracle also fell. Treasury yields diverged with the 10-year at 4.22% and the two-year slipping to 3.62%, while the S&P 500 still ended August up 1.9% for a fourth straight monthly gain.
