Trump threatens ‘obnoxious’ use of tariffs as markets buckle in wake of Supreme Court decision

MarketWatch

by Robert Schroeder

February 23, 2026

AI-Generated Deep Dive Summary

President Donald Trump has escalated his use of tariffs following a Supreme Court ruling that invalidated his earlier emergency-trade measures. In response to the court's decision, which struck down his signature economic policy, Trump announced plans to increase global tariffs from 10% to 15%. He described this move as "obnoxious" but suggested it was necessary to assert other powers he holds over trade. This shift has sent markets into a tailspin, with stocks experiencing significant sell-offs as investors grapple with the potential economic fallout. The Supreme Court's ruling effectively curtailed Trump's ability to impose tariffs based on national security concerns without proper authorization from Congress. In a post on his social media platform, Trump argued that the decision actually strengthened his other tariff-related powers. However, this interpretation has been widely criticized by legal experts and opponents, who view it as an overreach of executive authority. Analysts warn that Trump's new tariffs could exacerbate tensions with trading partners and further destabilize global markets. The move comes amid already heightened trade conflicts with China and the European Union, raising concerns about a potential escalation in international trade disputes. Investors are closely monitoring these developments, as they could have far-reaching implications for global economic growth and corporate profitability. From a financial perspective, Trump's tariff strategy is seen as a risky maneuver that could lead to increased import costs, inflationary pressures, and retaliatory measures from other countries. This could negatively impact key sectors such as manufacturing and consumer goods, potentially leading to higher prices for consumers. Additionally, the uncertainty surrounding U.S. trade policy has created volatility in financial markets, with traders and investors struggling to predict the next move. Ultimately, Trump

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Originally published on MarketWatch on 2/23/2026