Wall Street rebounds after Supreme Court's decision against Trump tariffs

Major US stock indices rebounded on Friday following the Supreme Court's decision to struck down President Donald Trump's sweeping tariffs.

Earlier, the Wall Street opened lower after data showed the world’s largest economy grew at a weaker-than-expected pace and on stubborn inflation pressures.

The America’s top court ruled against Trump's global tariffs, which were implemented via a federal law meant for national emergencies.

Trump's April 2 "Liberation Day" levies included a baseline duty of 10% on all imports to the United States and specific additional duties of 15% to 50% on most countries, many of which were renegotiated and subsequently lowered.

At 10:23 a.m. the Dow Jones Industrial Average rose 203.43 points, or 0.36%, to 49,571.90, the S&P 500 gained 30.53 points, or 0.44%, to 6,892.68, and the Nasdaq Composite added 140.10 points, or 0.62%, to 22,822.83.

"Markets are responding with a greater risk appetite for equities because we finally got something resolved," said Todd Schoenberger, chief investment officer at CrossCheck Management, according to Reuters.

"The only question now becomes a rebate issue, so that could have a negative impact on the economy," Schoenberger added.

At 09:30 a.m., the Dow Jones Industrial Average fell 169.22 points, or 0.34%, to 49,225.94, the S&P 500 lost 23.64 points, or 0.34%, to 6,838.25, and the Nasdaq Composite lost 128.79 points, or 0.57%, to 22,553.94.

According to the government’s initial estimate released on Friday, the inflation-adjusted gross domestic product (GDP) increased an annualized 1.4% in the fourth quarter ended December 31, 2025, after rising 4.4% in the prior period.

Overall, the US economy grew at 2.2% in 2025.

“That was a bummer of a number,” said Brian Jacobsen at Annex Wealth Management, according to Bloomberg.

“Real-time indicators had our hopes high that we’d see something closer to 3%, so 1.4% is a big letdown,” Jacobsen added.

Separately, official data showed the Federal Reserve’s preferred inflation guage — the core Personal Consumption Expenditures Price Index — rose 0.4% in December, the most in nearly a year. On an annual basis, the core PCE climbed 3%.

Following the economic data release, the yield on 10-year Treasuries was little changed at 4.07%, while the US dollar wavered.

Key Stock Movers

Shares of Google-parent Alphabet climbed 2.7%.

Stocks of automaker Ford Motor gained 1%, while General Motors pared some losses and were last down 0.1%.

Akamai Technologies shares dropped 9.8% after the cybersecurity and cloud computing company forecast first quarter adjusted profit below Wall Street estimates.

Comfort Systems rose 3.8% after the firm reported a stronger quarterly profit than analysts expected.

Bullion Market

Gold prices gained on Friday after US gross domestic product data came in below expectations.

By 09:04 a.m. (1404 GMT), spot gold was up 0.8% at $5,039.42 an ounce. US gold futures for April delivery added 1.3% at $5,060.10.

In other metals, spot silver rose 3.1% to $80.76 an ounce. Spot platinum surged 2.4% to $2,120.85, while palladium added 1.7% to $1,714.18.

Crude Oil

Oil prices edged down on Friday, after US President Donald Trump told Iran "bad things" will happen if it does not agree to a nuclear deal in the coming days.

Brent crude futures fell 8 cents, at $71.58 a barrel by 1442 GMT while US West Texas Intermediate crude stood at $66.44.

Over the week, both the benchmarks were up about 5.3%.