30.05.25 - Court reinstates tariffs - for now

On Wednesday, the U.S. Court of International Trade in New York ruled that nearly all of the tariffs imposed under Trump’s invocation of emergency economic powers were unlawful.
However, by Thursday, the US Court of Appeals in Washington temporarily overturned the New York ruling, granting only a provisional stay. The appellate court has now called for all parties involved to submit further legal arguments by June, signaling that the final verdict on the legality of Trump’s tariffs remains unresolved.

Markets: Equity indices continue with wider swings, Europe up today, while US Futures are trading flat, Asia in red this morning; Cryptos trading down, while US dollar is up and gold price trading around USD 3’300/os level.

My view: Tariffs remain a dominant topic, with uncertainty intensifying following the latest legal developments. As anticipated in my previous post, published yesterday, the market euphoria proved short-lived.

The rapid reversal of the court’s ruling underscores the ongoing legal and policy uncertainties surrounding US trade measures.
This back-and-forth creates significant challenges for companies operating globally, making it difficult to plan ahead.
Until a clear legal outcome is reached, the uncertainty around tariff policy will likely continue to weigh on investment decisions, many of which are now being set on hold and for sure being delayed. This hesitation will sooner or later show up in economic data and, in turn, will effect market sentiment in a negative way.

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