(Bloomberg) -- The S&P 500 Index is set to enter a correction phase after the benchmark fell for a fifth day, extending its drop to 10% from its last record close just three weeks ago.
The benchmark fell as much as 2.3% on Monday, and will join the tech-heavy Nasdaq 100 in correction territory if it closes 10% or more below its Jan. 3 high. The small-cap Russell 2000, meanwhile, is set to close in a bear market.
Read more: Nasdaq 100 Enters Correction as Tech Stocks Resume Slide
Equities have been slumping to start the year as a surge in Treasury yields and the prospect of rate hikes has made high-flying growth stocks less appealing. On Monday, the S&P 500's Information Technology Index fell more than 1.3% for the fifth session in a row.
The U.S. Federal Reserve holds its next rate decision on Wednesday, when investors will be parsing the central bank's language for indications on how many hikes are expected this year.
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