#MarketPullback #MarketPullback The current market pullback is caused by various factors, including¹ ²:
- *Economic Uncertainty*: US GDP growth turned negative in Q1 2025, with a decline of 0.3%, largely driven by a surge in imports. However, consumption remains relatively healthy.
- *Trade and Tariffs*: Trade direction and tariffs are significant concerns, with potential implications for corporate earnings and economic growth.
- *Interest Rates*: The Federal Reserve's decisions on interest rates are being closely monitored, with the market predicting three potential rate cuts instead of four following a strong jobs report.
- *Earnings Growth*: Although earnings growth surprised positively, guidance for the second quarter has weakened due to uncertainty surrounding consumer spending and tariffs.