Como você possui o diretório, apenas os bits de permissão "owner" são aplicados. As permissões "Group" e "world" são ignoradas.
Cite a página de manual path_resolution(7)
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Permissions
The permission bits of a file consist of three groups of three bits, cf. chmod(1) and stat(2). The first group of three is used when the effective user ID of the calling process equals the owner ID of the file. The second group of three is used when the group ID of the file either equals the effective group ID of the calling process, or is one of the supplementary group IDs of the calling process (as set by setgroups(2)). When neither holds, the third group is used.