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Supreme Court Strikes Down Trump Tariffs, Lifting Global Stocks

New U.S. data leaves the timing of Federal Reserve rate cuts in question.

Overview

  • U.S. and European equities turned higher after a 6–3 Supreme Court ruling invalidated President Trump’s sweeping emergency‑based tariffs, with Treasury yields edging up and the dollar slipping.
  • Analysts flagged a potential refund risk exceeding $175 billion in previously collected duties, while tariff‑exposed retailers and manufacturers outperformed on relief to cost outlooks.
  • An advance estimate showed U.S. GDP growth slowed to a 1.4% annualized rate in Q4 as PCE inflation rose to 2.9% year over year, with core near 3.0%, keeping traders’ rate‑cut bets largely focused on the summer per CME data.
  • Oil stayed near six‑month highs on escalating U.S.–Iran tensions before easing, and gold held elevated as investors balanced geopolitical risk with shifting macro signals.
  • India’s markets partially recovered after a sharp Feb. 19 drop, with the Sensex up about 317 points and the Nifty back above 25,550 as banks and metals led gains and sentiment drew a lift from trade hopes and Pax Silica participation.