You expect it to brake when traffic ahead suddenly slows significantly . But yes there are times when it brakes slightly when an alert human would have anticipated the need to slow earlier and eased off the throttle without needing to brake.
Its not severe and its not always but,as Kremmen says, its more than just engine braking. It can feel a bit strange at first having something else braking for you when you dont expect it. I've not had it happen often enough to analyse when it might happen, or its possible affect on following vehicles.
Its partly due to the fact a human can react proactively by reading the road well ahead. The the aid can only react to what its sensors 'see'.
This also shows when a car suddenly enters your lane close in front. An alert driver may spot its about to happen , due to driver behaviour ,indicators etc reacting even before the car has left its own lane. The 'system only spots it once the car is well into your lane . A driver with good hazard perception may notice a perceptible delay between the need to react and when the system reacts .Its only a fraction of a second delay but enough that a human might react a couple of metres sooner in distance covered than the ACC ,which then needs to compensate by braking that much harder. . Its better than nothing. Basic CC wouldn't react at all. (At 70 mph a car travels 31 metres per second. ,or 4 metres per second if there is a speed differential of 10 mph. That's a cars length.)
I'm not criticising it as such. I'm not sure how with current technology it could be improved. It cant think ahead like a human. Maybe a faster 'refresh ' rate on the sensor. But it does illustrate the need for the driver to remain alert and in control, and only use it with discretion depending on traffic and weather conditions.