S&P 500 in Corrective Pattern – CPI Data Holds the KeyS&P 500 IndexTVC:SPXfwalbaumThe S&P 500 remains in a corrective phase despite recovering from yesterday’s lows. The index briefly broke below last week’s low before buyers stepped in, highlighting the ongoing battle between bullish longer-term sentiment and short-term uncertainty. Geopolitical tensions have returned to the forefront as fighting between the United States and Iran resumed, increasing market volatility and making investors more cautious. At the same time, attention is shifting toward upcoming CPI data, which could determine the next major move for equities. A stronger-than-expected inflation reading would likely reinforce the Federal Reserve's cautious stance. Following last week's strong NFP report, the labor market continues to show resilience, reducing the urgency for rate cuts. If inflation accelerates further, some investors may even start discussing the possibility of additional tightening, which would be a headwind for stocks. From a technical perspective, the next important downside level is 7,350. A break below this zone could trigger a deeper correction as traders reassess valuation levels and monetary policy expectations. Despite the recent weakness, the broader picture remains constructive. Historically, years in which the first 100 trading days were positive often finish with gains by year-end. Strong corporate earnings, healthy consumer spending, and continued investment into technology and AI-related sectors remain supportive factors. For now, traders should expect choppy conditions. The long-term trend remains intact, but near-term direction will likely depend on inflation data, Fed expectations, and geopolitical developments.