Core Viewpoint - The Supreme Court ruled that the International Emergency Economic Powers Act of 1977 does not authorize the president to impose tariffs, impacting the legality of tariffs previously imposed by President Trump [1][2]. Group 1: Supreme Court Ruling - The Supreme Court's decision was a 6-3 ruling that questioned the mechanics of how tariffs were imposed under the AIPA [1][6]. - The ruling did not clarify whether companies that paid tariffs would receive refunds, leading to uncertainty among businesses like Costco, which are seeking refunds in lower courts [2][20]. Group 2: Presidential Response - President Trump criticized the ruling, labeling it a disgrace, and announced plans to impose a new 10% global tariff using Section 122 of the Trade Act of 1974, a method that has not been used in this context before [3][4]. - The new tariff is set to last for 150 days, but its legality and potential court challenges remain uncertain [15][16]. Group 3: Tariff Mechanisms - The typical process for imposing tariffs involves a fact-finding study by the Commerce Department or U.S. Trade Representatives, which is time-consuming and involves public review [11][12]. - The administration is expected to continue using this traditional process for sector-specific tariffs, such as those on steel and aluminum, which were not affected by the Supreme Court ruling [22][25]. Group 4: Market Reaction - The market reacted positively to the Supreme Court ruling, as it may reduce the overall tariff burden in the short term, although uncertainty regarding the refund process tempered this reaction [26][27]. - Companies are likely to challenge the ruling in court for refunds, but this process could take months or years to resolve [28].

US stocks rose on Friday after the Supreme Court ruled that President Trump's most sweeping "Liberation Day" tariffs are unlawful, saying he lacked the authority to impose them using emergency powers. The S&P 500 (^GSPC) rose almost 0.7%, while the Dow Jones Industrial Average (^DJI) gained roughly 0.5%. The tech-heavy Nasdaq Composite (^IXIC) led gains, up nearly 0.9%. All three major averages posted weekly gains. Stocks reversed course on the heels of the decision as investors kept an eye out for US-I ...

JP Morgan predicted fresh economic turbulence from Friday’s Supreme Court ruling nixing President Donald Trump’s emergency tariffs, warning Uncle Sam could be forced to refund as much as $200 billion to US businesses.One of the bank’s top researchers on economic policy, Michael Feroli, warned the decision could still spark heightened trade uncertainty and stunt business spending even as Trump administration officials vowed to revive the duties using other laws.“The Court’s ruling remanded this issue (of ref ...