The CME Group’s FedWatch Tool places the chance of a .25 rate cut in September at 86.4%. If this week’s July CPI report comes above the June pace of 2.72% year over year, the cost of essentials like groceries, gas, and rent will remain stubbornly high.

The dollar eased against the euro on Tuesday after U.S. consumer prices increased moderately in July, leaving intact the case for a Federal Reserve interest-rate cut next month

The Federal Reserve has not approved an interest rate cut since before the Nov. 5 election, but one of its governors said she wants three rate cuts this year. Federal Reserve Gov. Michelle "Miki" Bowman dissented from the Federal Open Market Committee's decision last week to maintain the current Fed rate of between 4.