Overview

• The Commerce Department reported July PCE inflation at 2.6% year over year, with core PCE rising to 2.9% from 2.8%, the highest since February.
• Major indexes pulled back after record closes, with the S&P 500 and Dow lower and the Nasdaq under pressure, while Bitcoin and Ethereum also fell.
• Second‑quarter U.S. GDP was revised to a 3.3% annualized pace, and final sales to private domestic purchasers rose to 1.9%, pointing to firm underlying demand.
• CME pricing shows roughly an 87% probability of a quarter‑point rate cut in September after Chair Jerome Powell signaled openness if labor conditions weaken, with the next jobs report in focus.
• Earnings moves were mixed: Nvidia slipped despite a beat and disclosed two customers accounted for 39% of quarterly revenue, Dell and Marvell fell on outlooks, and Autodesk and Petco rallied.