U.S. stock futures moved modestly lower on Monday as investors continued to assess the implications of the Supreme Court’s decision to overturn President Donald Trump’s emergency tariff measures. In response, Trump announced plans for temporary global tariffs of 15%, adding fresh uncertainty to the outlook for international trade and financial markets.
Futures point to softer open
Equity futures suggested a weaker start to trading as markets digested the administration’s latest tariff response following last week’s court ruling.
As of 03:08 ET, Dow Jones futures were down 224 points, or 0.5%, S&P 500 futures had fallen 40 points, or 0.6%, and Nasdaq 100 futures declined 185 points, or 0.7%.
Wall Street’s major indices had closed the previous week higher after the Supreme Court ruled that the administration’s use of a 1977 emergency powers law did not authorize sweeping tariffs. Even so, uncertainty remains over the broader consequences of the decision, including whether companies affected by the duties may be entitled to refunds.
ING analysts said, “Friday’s Supreme Court ruling sent a strong signal about the limits of presidential power.”
They added that the ruling is unlikely to deter Trump’s broader trade agenda, leaving markets unsure about the next steps.
“Uncertainty is back,” they noted.
Trump proposes temporary global tariffs
Trump, who described the ruling as a “disgrace,” moved quickly to invoke provisions of the 1974 Trade Act to introduce global tariffs of 15% for up to 150 days, aimed at addressing what he called “international payment problems.”
An earlier White House statement had suggested tariffs would initially be set at 10%, but the rate was raised over the weekend.
Congress — whose constitutional authority over trade played a central role in the court’s decision — could extend the so-called Section 122 tariffs for an additional 150 days. Analysts at ING noted that Trump could also allow the tariffs to expire, declare a new emergency, and restart the process, potentially creating a “de facto perpetual tariff instrument.”
Meanwhile, U.S. Customs and Border Protection said it will stop collecting tariffs invalidated by the ruling starting at 12:01 a.m. EST (05:01 GMT) on Tuesday, though it has not clarified whether importers will receive refunds.
Trading partners seek answers
Major U.S. trading partners are now evaluating how the ruling may affect recently negotiated trade agreements.
The European Commission called on Washington to respect a 2025 agreement and requested “full clarity” on future tariff policy. In a statement, it warned the current environment is “not conducive to delivering ‘fair, balanced, and mutually beneficial’” transatlantic trade and investment, adding, “A deal is a deal.”
China said it is conducting a “full assessment” of the decision and urged the United States to abandon “unilateral tariff measures.”
“Cooperation between China and the United States is beneficial to both sides, but fighting is harmful,” China’s Commerce Ministry said.
Waller remarks in focus
Investors will also be watching comments from Federal Reserve Governor Christopher Waller, who is scheduled to speak in Washington about the economic outlook.
Waller was among the policymakers who dissented from the Fed’s January decision to keep interest rates unchanged at 3.5%–3.75%, arguing that borrowing costs should be reduced amid concerns about potential weakening in the labor market.
Markets continue to expect rate cuts later this year, though timing remains uncertain. Any remarks from Waller on inflation, employment trends, or the economic impact of tariffs could draw close attention.
Oil prices retreat
Oil prices fell sharply, giving back part of last week’s rally as investors weighed renewed trade uncertainty alongside the prospect of further U.S.–Iran nuclear negotiations.
Brent crude futures dropped 1.3% to $70.39 per barrel, while U.S. West Texas Intermediate crude fell 1.4% to $65.55 per barrel.
Both benchmarks had gained nearly 6% last week amid concerns about a possible U.S.–Iran conflict and an unexpected decline in U.S. crude inventories.
A third round of nuclear talks between Washington and Tehran is expected Thursday in Geneva, raising hopes that a diplomatic breakthrough could reduce the risk of disruptions to global oil supplies. Iran remains a key producer within OPEC and holds some of the world’s largest proven crude reserves.
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