Will the Stock Market Crash if Trump's Tariffs Are Rejected by the Supreme Court? The President Says It Would Be a Disaster.

The S&P 500 (SNPINDEX: ^GSPC), the best barometer for the entire U.S. stock market, has advanced 17% in 2025 despite economic uncertainty created by President Trump's tariffs. Duties imposed to date have raised the average tax rate on U.S. imports to 16.8%, up from 2.5% last year, according to the Budget Lab at Yale.The average tariff rate has not been so high in 90 years, and it has never increased so quickly. Trump justified most duties with the International Emergency Economic Powers Act (IEEPA), a 1977 law that never explicitly affords the president the power to levy tariffs. In fact, the law never mentions the word "tariffs."Consequently, the Court of International Trade determined the IEEPA tariffs were illegal in May, and the U.S. Court of Appeals upheld the decision in August. The Supreme Court heard arguments in November, and most of the nine justices reportedly expressed doubts about legality. A final decision is likely in the coming weeks.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool