Tariff rollback lifts market mood as trade costs and inflation pressures ease

Global markets today are being driven primarily by a major U.S. policy shift after the Supreme Court struck down former President Trump’s sweeping tariffs. Removing these tariffs is seen as positive for both the U.S. and global economy because it lowers import costs, eases inflation pressures, and can improve profit margins for many companies that rely on global supply chains. Cheaper imported goods can help reduce costs for manufacturers and consumers, which supports corporate earnings and household spending. This legal decision also reduces some trade-policy uncertainty that has weighed on investor confidence in recent years, encouraging a more risk-on mood in equities. However, the market reaction—an S&P 500 gain of about 0.6%—indicates that while the news is clearly supportive, it is being balanced by ongoing concerns about signs of economic slowdown in the underlying data. Overall, the tariff reversal is the key driver of today’s more optimistic tone in global stock markets, especially in trade-sensitive sectors and regions closely tied to U.S. demand.