At what point should I buy the sauce in the S&P 500?

He S&P 500 It has fallen by 8.5% during the past month. It is at the lowest level since last September. Ok, that is not long ago, but reflects the abrupt change in the feeling of investors in recent weeks. As someone who focuses in the long term, I am sure that the market will recover. I cannot predict the future perfectly, so here is my current game plan.

Uncertainty cares

The main catalyst for the fall comes from uncertainty regarding the tariff policies of President Trump. In recent weeks, there have been ads about import taxes in Mexico, Canada, China and even the EU. However, there have been subsequent reversals, exemptions for certain sectors and delays for other applications. If there is something that worries investors, it is uncertainty.

As a result, some have decided to sell S&P 500 shares to reduce their risk. Some of the most affected actions are those of the agricultural and car sectors, which have been in the center of the tariff talk.

Looking to the future

Until we obtain some clarity about what will really happen with tariffs, I think the S&P 500 will remain volatile. Let's say that certain import levies are introduced. At least in that scenario, investors can address what actions to avoid and which have been oversized. So I do not see that the imposition of rates is negative for the S&P 500 in general. In any case, it will provide some certainty and allow us to move on.

In the long run, history shows me that the stock market should be higher in several years. But instead of buying the sauce through an index fund, I would prefer to be selective in what I buy.

An idea that I like

An action I already have is Walmart (NYSE: WMT). It has been caught in the recent fall, 15% less than in the last month. However, during the last year it increased 42%. I will wait more clarity about tariffs in the coming weeks, but I will anticipate buying more in next month.

It is true that the company is affected in part by tariffs, which is a risk in the future. It is in the process of meeting with some Chinese suppliers to reduce prices to combat the impact of the import rate. It has the purchase influence to reach an agreement. And it does not have an important exhibition to Mexico or Canada, so I am not too worried here.

The business has a proven history of profitability over time. The Q4 results showed that income increased by 4.1% versus the same period last year. Operating income increased by 8.3%. Although the company is mature, it is being intelligent, in “Implement capital towards the highest yields, using technology to improve customer experience.”

So, although I think it is too early to buy the sauce in the action (and the S&P 500) at this time, I will certainly look for it in the next month.