[RBC Capital Markets said the risk of a U.S. stock correction of up to 10% has increased, and the mid-term elections may intensify AI trading volatility] On September 9, RBC Capital Markets strategists said that as the U.S. midterm elections approach and the market enters a phase of weak seasonal performance, the risk of a U.S. stock correction of up to 10% is rising. Lori Calvasina's team pointed out that the S&P 500 fell in September in five of the past 10 years. They said the U.S. midterm election cycle could exacerbate volatility in AI trading as artificial intelligence (AI) stirs some backlash as a campaign issue, while the war in Iran remains another headwind. “The risk of a level 1 correction, which is the more common 5% to 10%, has increased for several reasons,” Calvasina said. She added that concerns about inflation and interest rates were overshadowing recent improvements in consumer confidence.