The S&P 500 trades at 6,893.61 as of writing , up 31.72 points or 0.46%, after swinging through a 73-point intraday range between 6,836.33 and 6,909.87. The index reversed early losses and pushed higher alongside the Nasdaq Composite, while the Dow Jones Industrial Average added roughly 550 points before retracing lower. Markets responded sharply after the Supreme Court struck down President Donald Trump’s sweeping global tariffs in a 6-3 ruling. Traders digested the decision quickly. Equities erased declines that followed weaker economic data released earlier in the session. The ruling injected momentum into risk assets and shifted attention away from slowing growth concerns. Supreme Court Strikes Down Trump Tariffs The Supreme Court ruled that Trump exceeded his authority under the International Emergency Economic Powers Act of 1977 when he imposed broad tariffs on global imports. Chief Justice John Roberts authored the majority opinion. He joined Justices Neil Gorsuch, Amy Coney Barrett, and the court’s three liberal justices. Roberts challenged the administration’s interpretation of IEEPA. He wrote that the statutory language could not support unlimited tariff authority across countries, products, rates, and timeframes. The ruling voids tariffs imposed under IEEPA starting in February 2025. These measures included levies on China, Canada, and Mexico tied to fentanyl trafficking, as well as the wide-ranging “Liberation Day” reciprocal tariffs announced on April 2, 2025, which targeted more than 100 countries. However, the decision leaves intact tariffs imposed under other statutes. Duties under Section 232 of the Trade Expansion Act of 1962, which cover steel, aluminum, lumber, and automobiles, remain in place. Investors viewed the ruling as a significant shift in trade policy. Import-dependent companies gained relief, and equity indexes responded immediately. GDP Data Shows Sharp Slowdown Earlier in the day, stocks struggled after the Commerce Department reported that fourth-quarter GDP grew at an annualized rate of 1.4%. Economists had expected 2.5% growth. The figure marked a steep drop from the third quarter’s 4.4% expansion. Source: X The department attributed roughly one percentage point of the shortfall to a record 43-day government shutdown during the quarter. Still, the slowdown raised concerns. Growth lost momentum at a time when investors already questioned the durability of the expansion. Would the weaker pace influence corporate earnings in coming quarters? Markets briefly reflected that uncertainty before the court ruling changed the tone. Inflation Keeps Pressure On The Fed Inflation data added another layer of complexity. The Personal Consumption Expenditures price index showed that core prices rose 0.4% in December. The annual core rate climbed to 3.0%, well above the Federal Reserve’s 2% target. The reading met expectations but reinforced inflation’s persistence. Policymakers now face a difficult balancing act. Slower growth calls for caution, yet elevated inflation limits flexibility. Treasury yields edged higher during the session also, signaling that bond markets continue to weigh these crosscurrents carefully. Technical Setup: Consolidation Since December The chart shows the S&P 500 consolidating in a defined range since December. Price action continues to respect support near recent lows while encountering resistance near resistance at around 6,900. Friday’s rally pushed the index close to that resistance level but stopped short of a decisive breakout. Source: Trading View via X Will buyers force a move above resistance, or will sellers defend the range again? Momentum now favors the upside in the short term, yet macro data keeps volatility elevated. Traders assess legal developments and economic signals, and the next directional move may hinge on whether the index can close firmly beyond its established range.