The Federal Reserve is expected to proceed with a rate cut during its September 16-17 meeting, despite recent PCE data, according to Michael Lorizio of Manulife Investment Management. Lorizio noted that the inflation figures have not altered the likelihood of a rate cut. Meanwhile, long-term bond yields increased as traders adjusted portfolios ahead of the long weekend. The corporate bond market is anticipated to rebound next week as many return from summer vacations. A busy week is expected, with primary markets and spread product markets, particularly corporate bonds, fully resuming activity. The upcoming August employment data, due next Friday, could play a significant role in shaping the Fed's policy decisions.