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The S&P 500 Index (SPX) is currently down 7 percent from its recent high, according to Yuriy Matso. The analyst highlighted that the 6300 level is formally regarded as entering correction territory, which is defined by a 10 percent drop from the peak.
This assessment underscores SPX's current weakening trend, with investors paying attention to key technical levels as the index approaches correction status.
These developments align with broader market trends, including the surge in S&P 500 put holdings that signaled heightened bearish sentiment earlier this year, as Yuriy Matso previously noted in his analysis of record levels of S&P 500 put options. Similar caution has also emerged in the Nasdaq, where Matso recently warned of a potential 25 percent selloff risk for the NQ, underscoring persistent uncertainty across major equity indices.