Supreme Court Ruling on Trump Tariffs May Spark Market Volatility

The Supreme Court's impending decision on former President Donald Trump's tariff policies could send shockwaves through financial markets. Analysts anticipate heightened volatility, particularly for stocks and sectors most exposed to trade policy shifts. A ruling against the tariffs might trigger a relief rally, while an endorsement could prolong uncertainty.

Market experts note the complexity of potential outcomes, as the TRUMP administration retains alternative mechanisms to reimpose trade restrictions even if the court strikes them down. The decision, expected as early as Friday, addresses emergency powers used to implement April's "Liberation Day" levies that initially rattled markets before their recovery.

"Expect volatility if it's determined to be illegal, a rally if it comes in as allowed," said Louis Navellier, CIO of Navellier & Associates. The ruling could provide clarity to trade policy that has remained ambiguous for nearly a year, though its ultimate market impact may defy conventional "buy the rumor, sell the news" patterns.