S&P 500 Index: Sellers return with risk-off on US states’ coronavirus flare-ups

The US benchmark, the S&P 500 futures wiped-out the opening gains and turned negative, as the sellers took control on a break below 3,150 amid souring risk-sentiment.

With the worrisome coronavirus stats tricking in from across the US states, the appetite for risk assets took a hit, dragging the S&P 500 stocks to fresh session lows of 3,126. At the press time, the index has recovered to 3,135, modestly flat on the day.

Arizona case count rose to 3520 on Wednesday vs. Tuesday’s 3352 tally, reporting a rise of 3.4% while the ICU utilization is up to 91% from 90% seen a day before. The virus cases in Florida grew 4.7% vs. 7-day average of 5.0%.

The index now consolidates the drop, as immediate downside now remains capped at Monday’s low of 3,121, below which the 10-DMA support at 3,100 will be tested. To the upside, 3,169 (daily classic R1) will challenge the bulls’ commitment en route the 3,200 level.

S&P 500 Chart