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2 1/2 pound is to low for your carb, you were given the pressure for the Merc carburetor earlier, it ain't a 97.
Why don't you pop the lid of to see what the actual problem is?
You should not need a regulator, if the pump is to spec, I know your little gauge says 5, but those little cheap ones arnt that accurate. The carb has a fiber washer up the top where the needle valve goes in. It's not uncommon for the 885 To leak there.
Good luck,
Martin.