Market Surge as US Court Blocks Trump's 'Liberation Day' Tariffs
Asian markets and Wall Street futures surged after a US federal court blocked President Trump's tariffs. The decision marked a legal setback for Trump's tariff strategy, subsequently sparking optimism amongst investors and strengthening the US dollar against traditional safe haven currencies.
In a dramatic turn of events, Asian shares and Wall Street futures surged after a US federal court halted President Donald Trump's proposed 'Liberation Day' tariffs. The Court of International Trade concluded that Trump exceeded his authority by planning tariffs effective from April 2, lifting the dollar against safe haven currencies.
The White House quickly filed an appeal with the potential to escalate the case to the Supreme Court. This development generated hope that President Trump might reconsider imposing the heaviest tariff levels. Legal experts, like Kyle Rodda from Capital.com, have long argued that emergency powers used to enact tariffs could be unconstitutional and should reside with Congress.
The court's decision uplifts investor confidence, seen as a potential delay or denial of tariffs, and shifts the landscape for U.S. trading partners awaiting the lawsuit's resolution. As major indices, including Japan's Nikkei and South Korea's shares, soared, Nvidia's strong revenue projections further propelled Nasdaq futures upward.
(With inputs from agencies.)
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