nginx conf for dockerized wordpress, fastapi, nginx on the local machine

I want to setup php (wordpress) and a backend API (fastapi) on the same local machine for development. I am using docker swarm mode on this single node. So, nginx, php, and backend are all docker services.

When I use following nginx.conf, wordpress takes over the whole address space. E.g. when I write localhost/api/docs, wordpress shows me its main page. Whereas I would like to see my fastapi documentation. How can I fix this?

upstream php {
    server unix:/tmp/php-cgi.socket;
    server php:9000;
}

server {
    listen 80;
    server_name _;

    location /api {
        proxy_pass http://backend:8888/api;
    }

    location / {
        root /var/www/html;
        index index.php index.html;
        try_files $uri $uri/ /index.php?$args;
    }

    location ~ \.php$ {
        include fastcgi_params;
        fastcgi_param SCRIPT_FILENAME /var/www/html$fastcgi_script_name;
        fastcgi_intercept_errors on;
        if ($uri !~ "^/images/") {
            fastcgi_pass php;
        }
        
    }


    location ~* \.(js|css|png|jpg|jpeg|gif|ico)$ {
        root /var/www/html;
        expires max;
        log_not_found off;
    }
}