#MarketPullback
A market pullback refers to a temporary decline in the price of an asset or index during an overall upward trend. Typically, pullbacks are short-lived, lasting a few sessions, and are often seen as buying opportunities by investors. They can result from profit-taking after a strong rally or reactions to external factors like geopolitical events or economic data. For instance, on May 5, 2025, U.S. markets experienced a pullback due to concerns over new tariffs and upcoming Federal Reserve decisions. Understanding pullbacks helps investors differentiate between short-term corrections and more significant market reversals.