A jump in U.S. wholesale prices last month looks to have all but erased the possibility that the Federal Reserve will deliver a jumbo-sized half-point interest-rate cut in September, though expectations for a quarter-point cut next month,

Wall Street is edging back from its record heights after a disappointing report said inflation was worse last month.

Futures markets are also expecting a rate cut. Investors peg the chances of a quarter-point interest rate cut at nearly 96%, according to the CME FedWatch Tool, a measure of market sentiment.