Futures surged early Thursday as a federal court knocked down President Donald Trump’s “reciprocal” tariffs. Solid earnings from artificial intelligence heavyweight Nvidia also buoyed the market.
Futures tied to the S&P 500 rose 1.49%, while Nasdaq 100 futures gained 1.88%. Dow futures climbed 470 points, or 1.12%.
On Wednesday night, the U.S. Court of International Trade ruled that Trump overstepped his authority when he imposed his “reciprocal” tariffs. The judges ordered that the challenged tariff orders be vacated.
The April 2 announcement of Trump’s duties, the president’s constantly changing approach toward trade policy, as well as inflation fears fueled by the prospect of the tariffs, roiled markets last month. Some companies have also highlighted the levies and dialed back their forecasts, pointing to uncertainty around trade policy and the impact on the consumer. For now, the judges’ decision appears to have