The Federal Reserve's true expectation is not China creating disasters for it, but China providing narratives for it.

As long as external reductions, auction pressures, and term premium increases occur simultaneously, the Fed can re-expand its balance sheet under the guise of "maintaining market functions" and "supplementing reserves."
At that time, what it appears to buy is liquidity, but what it actually supports is the financing ceiling of the U.S. Treasury.
Ultimately, whether or not to cut interest rates is just a front-stage move; the real backstage drama is who will stabilize the back-end of the 38 trillion debt system.