The market prefers clear tariffs

The Us Federal Trade Court has cracked down on President Donald Trump's “reciprocity” tariffs in a wide range of countries, and on the surface, is surrounded by positive developments. Lack of tariffs can lead to cheap goods, possibly more consumer spending and higher company revenue, which tends to flow back to stock prices.

However, this ideal situation depends on the court's decision being the final decision, and the Trump administration has no other way to restore its muscle trade policy.

Thursday’s event has shown us that this is not the case. Court of Appeal temporarily suspends tariff ruling Allow the Trump administration to respond to the case. “Even if we lose, we will do it in another way,” Trump trade adviser Peter Navarro told reporters at the White House Thursday afternoon.

This uncertainty could further engage in trade and trade negotiations with the state. If tariffs can be in and out of the way according to policy and judicial decisions, how do countries discuss trade agreements and how can investors distribute their capital effectively? Indeed, the S&P 500 rose nearly 0.9% at the start of the deal, but fell sharply after the Trump administration said it could ask the Supreme Court to stop the Federal Trade Court ruling.

“Overall, the market doesn’t like uncertainty because it makes predictions more difficult,” said Larry Tentarelli, founder of Blue ChIP Daily Trend Report. “We expect the tariff news cycle to be an expanded process, which could lead to higher short-term volatility.”

In other words, if the universal tariffs determined at 10% (and undoubtedly still taxes), its guarantors may be better for global markets and economies in the long run.

Trump's “reciprocity” tariffs are now restored
The U.S. federal appeals court on Thursday approved a request for the Trump administration to temporarily suspend a lower judge's ruling that lowered most Trump tariffs. Trump officials insist that even if it doesn't prevail in this case, they have other options to impose tariffs. Earlier in the day, the White House said it would seek “emergency relief” from the Supreme Court if the ruling was not suspended.

US market earnings are confusingly restricted by tariffs
U.S. stocks rose Thursday. They are Nvidia – The increase was 3.3%, but the greater gains were blocked by the uncertainty of the tariffs. this S&P 500 Added 0.4%, Dow Jones Industrial Average Obtained 0.28%, Nasdaq Composite Materials Climb to 0.39%. European Stoxx 600 Index slipped by 0.19%, Germany's index Dax Lossed 0.44%, but so far, the latter still has more than 20%.

Powell stressed that interest rate decisions cannot be political
Fed Chairman Jerome Powell met with Trump on Thursday, according to a press release from the U.S. Central Bank. “Chairman Powell did not discuss his expectations for monetary policy,” the statement said. However, Powell did “emphasize that the policy path will depend entirely on the incoming economic information and what it means for the prospects” – essentially, such interest rates cannot be influenced by politics.

SEC waives lawsuit against Binance
The SEC has officially withdrawn the lawsuit against Binance and founder Changpeng Zhao, which was first filed in June 2023. The case accused cryptocurrency exchanges of illegally providing services to U.S. users, inflated transaction volumes and raised customer funds. The firing marks a symbolic end to the agency's crypto-calming repression, and the Trump administration is trying to prove that it is an ally of the industry.

(Pro) European Department Play: Morgan
European stocks have performed better than U.S. stocks so far this year. Morgan Analysts believe this trend may continue, and non-U.S. markets are “increasingly favorable” to deals from U.S. peers over the next 12 to 18 months. This is the bank's preferred department during this period.

Musk-Altman AI competition complicates Trump's deal in the Middle East

CNBC confirmed that Elon Musk tried to derail a major AI infrastructure protocol in the Middle East after he learned that his startup Xai would be excluded from the program.

Earlier this month, OpenAI, Oracle, Nvidia, Cisco and Emirati G42 announced plans to build a grand Stargate AI campus in the United Arab Emirates. Musk was frustrated that Openai, led by personal rival Sam Altman, was exploited by the deal, and he intervened to get Xai involved.

Musk believes Trump will not approve the deal. The news was delayed for several days as stakeholders, including the White House, handled Musk's counterattack, who had been on public and legal issues with Altman and Openai.