Peter Smith
● In a post by CryptosRus, markets reacted strongly to news that the Supreme Court may overturn Trump-era tariffs—one of the biggest policy shifts this year. The news instantly boosted risk appetite, pushing both stocks and crypto higher as traders adjusted their outlook on inflation and Fed policy.
● The court is weighing whether to roll back tariffs from the Trump years, which hit hundreds of billions in Chinese and European goods. Supporters say ditching these tariffs would cut costs for businesses and ease consumer prices. Critics worry it could hurt domestic manufacturers by opening the floodgates to cheaper imports.
● The reaction was swift. On prediction markets like Kalshi and Polymarket, the odds of tariffs staying in place dropped to around 30%—a huge swing. If the tariffs go, inflation could cool, liquidity could improve, and the Fed might cut rates sooner. That's a win for growth assets.
● This shows how court decisions can reshape economic expectations. Tariffs have been a persistent inflation driver—removing them would be like injecting stimulus through trade instead of government spending. The immediate rally in stocks and crypto shows just how closely markets are watching both policy and legal outcomes in 2025.
Peter Smith
