U.S. stock index futures deepened losses on Sunday evening after President Donald Trump said he will hike his global tariffs under a different law, following a Supreme Court ruling against his levies.
Markets were also on edge ahead of closely watched earnings from artificial intelligence giant NVIDIA Corporation (NASDAQ:NVDA), which are due this Wednesday.
S&P 500 Futures fell 0.7% to 6,875.0 points, while Nasdaq 100 Futures fell 0.9% to 24,851.50 points by 23:12 ET (04:12 GMT). Dow Jones Futures fell 0.6% to 49,547.0 points.
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Wall Street clocked a positive session on Friday as the Supreme Court decision spurred some optimism over relief from Trump’s tariffs, which helped investors look past underwhelming economic data.
Markets also took some relief from the U.S. not launching military strikes against Iran over the weekend, as feared by many. Nuclear talks between Washington and Tehran are set to continue later this week.
Trump hikes temporary tariff to 15% after Supreme Court ruling Trump said over the weekend he will raise a temporary universal tariff on imports to 15% from 10%, shortly after the Supreme Court found he exceeded his authority in declaring an economic emergency to impose a swathe of trade tariffs.
Trump had responded to the ruling by imposing a 10% tariff, before promptly increasing the levy to 15%.
Reports showed several major countries, with which the Trump administration had signed trade deals in the past year, were now seeking renegotiation or more clarity on his levies.
Trump invoked a separate but untested law– Section 122– to impose his 15% levy. But no prior president has ever invoked the law, with Trump also requiring Congressional approval to extend his duties after 150 days.
"President Trump’s move on Saturday to slap 15% universal levies on the globe—up from an initial 10% on Friday—dispels the notion that Trump might’ve lost the taste for trade-warring," analysts at Yardeni Research said in a note.
"Where Trump takes tariffs now is anyone’s guess."
Trump’s levies have attracted growing criticism in recent months for pushing up the cost of living. Trade data for December, released last week, also showed the tariffs did little to curb the country’s massive deficit in 2025.
Nvidia earnings awaited for more AI cues Focus this week is squarely on earnings from AI major NVIDIA Corporation (NASDAQ:NVDA), for more cues on the fast-growing industry. The company manufactures the most advanced AI processors in the market, making it a key bellwether for AI-linked demand.
Nvidia will report its fiscal fourth quarter earnings on February 25. The world’s most valuable listed company is expected to post earnings per share of $1.52 on revenue of $65.56 billion, Investing.com forecasts showed.
