Stock-market selloff brings S&P 500 index on verge of correction, 3,222.76 is the level to watch

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Monday’s sharp slump in global equities was putting the S&P 500 index on the verge of sinking back into correction territory, defined by a fall of at least 10% from a recent peak. The S&P 500 index at its low on Monday was off more than 2.6% at 3,229.10, with a fall beneath 3,222.76, representing a drop of 10% from the benchmark’s Sept. 2 record peak. A decline there would see the broad-market benchmark join the technology-laden Nasdaq Composite Index in correction territory, which it achieved early this month. The broad selling on Wall Street came amid renewed worries about accelerating coronavirus cases in Europe and the possibility that the region could face fresh lockdowns to limit the spread of the global epidemic. Other factors also were weighing on U.S. stocks, including worries about a fight to replace Supreme Court Justice Ruth Bader Ginsburg, which political analysts believe could hurt prospects for further coronavirus stimulus.
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