Stock Market Breadth Deterioration & Semis Capitulation Watch
Under the surface of major indices, thousands of stocks are deeply underwater — with semis potentially near a historic bottom, and SPX posting its lowest close since late September.
What we know
An account on X highlights that 5,000 stocks are down 20%+ from 52-week highs and 1,400 are down 70%+ — requiring 233% gains just to break even. Meanwhile another account on X reports SPX closed at 7,659, down 1.1% on the day and 1.9% on the week, with VIX jumping from 16 to 20. In semis, another account on X flags $SMH/$SOXX RSI at 31 — below the March 2026 lows — and warns to hold cash for a potential capitulation day, while seeing a possible historic bottom near $500–515. Another account on X adds Meb Faber's contrarian case: bear markets are healthy and unloved assets (foreign stocks, small caps, value) deserve attention.
By the Global Eye 24 desk, with AI assistance. Updated as the story develops. Spot an error? Write to corrections@globaleye24.com.