US stock indices pared earlier losses in a volatile Friday session after the US Supreme Court struck down a series of tariffs imposed by the presidential administration. The three major averages were last up around 0.5%. The Court invalidated IEEPA-based “reciprocal” tariffs introduced by President Trump against select countries, as well as tariffs justified on fentanyl-related grounds, with estimates suggesting roughly $175 billion could ultimately be refunded. Industrial and manufacturing shares advanced on the ruling. Tech heavyweights Alphabet, Amazon, and Meta each gained about 2%.
At the same time, US GDP growth came in weaker than expected, challenging the narrative that the economy remained resilient in the face of tariffs and the government shutdown. Equities also faced pressure from a sharp rise in the PCE price indexes and another increase in oil prices, which together pushed longer-dated Treasury yields higher. Banks and other lenders stayed under pressure amid mounting credit costs. Meanwhile, Newmont traded slightly below the flatline after projecting lower gold output for the year.
