#MarketPullback

A market pullback is a temporary decline in asset prices during an overall upward trend, often viewed as a healthy correction. In early May 2025, U.S. markets experienced a pullback after a nine-day rally, with the S&P 500 dropping 0.6% and the Nasdaq falling 0.7%. This retreat followed President Trump's announcement of 100% tariffs on foreign films, impacting entertainment stocks like Netflix and Disney. Additionally, Berkshire Hathaway shares declined over 5% after Warren Buffett announced his retirement. Despite strong service sector data, investor sentiment was cautious due to trade uncertainties and upcoming Federal Reserve decisions. Such pullbacks offer investors opportunities to reassess positions and consider long-term strategies.