Courts Challenge Tariffs

The U.S. trade court’s finding that the administration misused a law to impose 2 April “Liberation Day” tariffs—now under appeal—drove S&P 500 futures +1.6 % as a risk-on catalyst.

Daily Updates:

• The minutes for the FOMC’s May meeting released yesterday reinforced the Fed’s cautious stance, as participants signalled a clear preference to wait for more clarity on inflation and the broader economic outlook before making further policy moves.

• They acknowledged that risks of both more present inflation and rising unemployment have grown, and almost all commented that inflation may remain elevated for longer than anticipated.