It appears that Yahoo! continues to make tweaks to the new index and algorithm they set into place on July 13/14th. Webmasters are still tracking the changes in the WebmasterWorld thread.
WebmasterWorld Yahoo! Moderator, caveman, notes;
Ya, just a tweak ... not sure for the better, but just having a look now. Most of the issues with the latest update remain. Looks like the internal site issues are still there (wrong page/right site) and externally, force is certainly outweighing meaning/intent. Putting this much emphasis on external links w/o having theming/mapping, authority, and (ideallly) semantic stuff working well is problematic. Issues that arise include: - quality niche sites with good but not huge numbers of links tend to struggle (I see a little more of that with this tweak, I think) - searches with words having multiple meanings can be awfully bad - lots of links with right words can work wonders for a page/site, even if from only vaguely related and unrelated sites.Add to that heavy handed filters that clip out best pages and feature bad choices from good sites, and you've got a real mixed bag. Link sellers gotta be feeling giddy right now.
Some SEOs are loving it, some are hating it. What did you expect?
Forum discussion at WebmasterWorld.

Comments:
Michael Martinez
07/24/2006 10:20 pm
I haven't tried to optimize for Yahoo! for at least a couple of years. Suddenly, I'm all over the top SERPs for expressions I used to dominate (and some new ones). I wonder what they changed. Is it permanent? I can't complain. Overall relevance doesn't seem to be very much better, but it seems more focused. Yahoo! was all over the board in relevance for expressions with multiple contexts. I guess they're starting to zoom in on stuff now like other search services.
Stephen
07/28/2006 06:38 am
I notice update on 13, and after that again an update on 25 July and get my site back. Have you notice any change in algo.