I would not over-interpret a single session selloff as a regime shift. Positioning had become crowded, so a sharp unwind was overdue regardless of the leadership change.
The transition from Jerome Powell to Kevin Warsh does matter, but mainly through uncertainty. Markets dislike losing a predictable policy anchor. That raises volatility, not necessarily changes the trend immediately.
On adding exposure, I would be selective rather than aggressive:
I would not deploy all cash here. Macro shorts rising suggests this could extend.
I would start scaling in gradually, especially into quality names that corrected on positioning rather than fundamentals.
For AI/semis, I would wait until after NVIDIA earnings. That event will likely set near-term direction for the entire complex.
If NVDA holds up well, this pullback becomes a buying opportunity. If it disappoints, you likely get a deeper leg down where risk-reward improves meaningfully.
So yes, this is a pullback worth engaging, but only in layers. Not a “buy the dip aggressively” moment yet.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
