Trump’s Trade Tariffs Rattle Markets Amid Legal Challenges
Former President Donald Trump’s imposition of global trade tariffs has sent shockwaves through risk markets, reigniting fears of a trade war. A federal court recently ruled that TRUMP lacked the authority to enforce these tariffs under the International Emergency Economic Powers Act, dealing a significant blow to his trade policy. The administration has vowed to appeal.
The tariffs, initially targeting Canada and Mexico, were expanded worldwide in April, prompting legal backlash from businesses and states. Congress retains constitutional authority over trade policy, but Trump’s framing of the issue as a national emergency has sparked contentious debate. Market volatility persists as investors weigh the potential for prolonged trade disruptions.
