Investors have increased put option activity on major U.S. equity indexes and ETFs, signaling a cautious market stance amid recent highs. Notably, there has been substantial buying of SPY put options, including short-term zero days to expiration (0-DTE) $603 puts that rose from $0.90 to $3.00, reflecting hedging strategies against potential downside. Goldman Sachs derivatives data indicate large purchases of SPX downside put spreads extending to August and September, alongside significant buying of VIX downside options. Additionally, a notable transaction involved 20,000 SPY debit put spread contracts for July, betting on a decline to the low 570s, with the trade structured as buying 573 puts and selling 571 puts. Market participants appear to be positioning defensively, possibly due to concerns that recent gains have already priced in optimistic developments related to China trade negotiations.