It's not directly related to the tire temperatures. It does seem counter to
common sense but it's well documented - lowering tire pressure increases
grip but also increases slip angle. I have experienced this in real cars
and it can be duplicated in any sim. Grip and slip are not directly
related. Grip is mostly a function of the contact patch, slip is mostly a
function of sidewall deflection. Grip is how hard you can push on the tire,
slip is how much it deflects under load. Increasing tire pressure reduces
the deflection of the sidewall, which reduces slip. It usually reduces grip
also, but it depends on where you started from.
I think part of the confusion might be that understeer/oversteer is often
assumed by people to have to do with which end of the car loses grip first
as you increase cornering force. That is incorrect. The SAE uses a
definition that I could not possibly recite from memory but has to do with
the rate of change of turn radius vs. steering angle. The easiest way to
understand it is to go back to the simplified bicycle handling model that is
used to teach vehicle dynamics concepts. The understeer number is defined
as front slip angle - rear slip angle. When it is positive (front slipping
more than rear) you have understeer. When it is negative (rear slipping
more than front) you have oversteer. In practical terms what this means is
that as speed is increased an understeering vehicle will require more
steering angle for the same radius turn, whereas an oversteering vehicle
will require less. The SAE definition states that in more formal
mathematical terms, but that is essentially what it means.