(Updates with closer)

*

Investors eye inflation data for outlook on rates

*

Chip companies face revenue-sharing demand from US

government

*

Intel ( INTC ) CEO to visit White House, report says

*

TKO Group ( TKO ) up after $7.7-billion US rights deal for UFC

By Saeed Azhar, Johann M Cherian and Sanchayaita Roy

Aug 11 (Reuters) - Wall Street's main indexes ended

lower on Monday as investors anxiously await inflation data this

week to assess the outlook for interest rates and eye U.S.-China

trade developments.

Investors expect the recent shakeup at the U.S. Federal

Reserve and signs of labor market weakness could nudge the

central bank into adopting a dovish monetary policy stance later

this year, fueling much of the optimism.

July's consumer inflation report is due on Tuesday, and

investors anticipate that the Fed will lower borrowing costs by

about 60 basis points by December, according to data compiled by

LSEG.

"Markets are on rate watch, so anything inflation-related

will move markets this week," said Jamie Cox, managing partner

at Harris Financial Group. "It's all about three rate cuts

versus two at this point."

According to preliminary data, the S&P 500 lost 15.13

points, or 0.24%, to end at 6,374.32 points, while the Nasdaq

Composite lost 62.99 points, or 0.29%, to 21,388.60. The

Dow Jones Industrial Average fell 193.29 points, or

0.44%, to 43,982.32.

Shares of Nvidia ( NVDA ) and Advanced Micro Devices ( AMD )

were volatile through the day.

A U.S. official told Reuters the semiconductor majors had

agreed to give the United States government 15% of revenue from

sales of their advanced chips to China.

Analysts said the levy could hit the chipmakers' margins and set

a precedent for Washington to tax critical U.S. exports,

potentially extending beyond semiconductors.

Separately U.S. President Donald Trump signed an executive

order extending a pause in sharply higher U.S. tariffs on

Chinese imports for another 90 days, a White House official

said.

Enabling semiconductor sales to China was an integral issue in

the agreement Washington and Beijing signed this year, which

expires on Tuesday. Trump lauded China's cooperation in talks at

a White House press conference on Monday.

Traders took a step back after the S&P 500 and the

Nasdaq last week logged their strongest weekly

performances in more than a month.

Citigroup and UBS Global Research became the latest

brokerages to raise their year-end targets for the benchmark S&P

500.

Micron Technology ( MU ) raised its forecast for fourth-quarter

revenue and adjusted profit, boosting its shares.

Intel ( INTC ) rallied after a report said CEO Lip-Bu Tan was

expected to visit the White House. Trump had called for his

removal last week.

TKO jumped after Paramount bought the rights

from the live entertainment company to exclusively distribute

UFC events for the next seven years in a deal valued at around

$7.7 billion.