Despite the possibility of a Supreme Court ruling against some of Trump's announced tariffs, exporters should not be mistaken: tariffs are here to stay. The White House is currently preparing alternative policy options. Plans to find alternative tariff options are already in motion. 

Following the Supreme Court hearings on the legality of tariffs enacted by the US administration under the International Economic Emergency Powers Act (IEEPA), the government has started preparing fallback options to ensure the continuation of the tariff agenda. Although no comment was made on the specifics of these preparations, this has fuelled expectations that the court might overrule President Trump's use of the authorities granted under IEEPA. Betting markets already think President Trump will lose his tariff court battle.

The main strategies will probably involve making more prominent use of sections 301 and 232, which are already used to impose sectoral tariffs in response to unfair trade practices and national security threats. Currently in place and unaffected by the ruling are Section 301 tariffs on Chinese products and Section 232 tariffs on steel, aluminium and copper, as well as cars and car parts.

(ING - Continue Reading)

The UK government has sealed a deal with Donald Trump guaranteeing that zero tariffs will remain on the imports of UK pharmaceuticals into the US and commits Britain to higher spending on NHS drugs.

The agreement, announced on Monday, secures continued investment by UK pharma companies in the US and will create jobs in the US, the Trump administration said.

The US would “work to ensure that UK citizens have access to latest pharmaceutical breakthroughs”, it said, saying it would “refrain from targeting UK pharmaceutical pricing practices” in any future investigations into the sector “for the duration of President Trump’s term”.

The deal calls for the NHS to increase the net price it pays for new medicines by 25%. The deal will also bring changes to a longstanding drugs-purchasing agreement with the NHS, which pharma industry leaders have argued is not competitive, discourages investment and needs reform.

(Guardian - Continue Reading)

BofA Global Research on Monday said it now expects the U.S. Federal Reserve to cut interest rates by 25 basis points at its December meeting, citing weak labor market conditions and recent comments from policymakers hinting at an early cut.

The Wall Street brokerage had previously expected borrowing costs to remain unchanged at the Fed's December meeting. It now sees two additional quarter-point cuts in 2026, in June and July, bringing the terminal rate to 3.00%-3.25%. "Our forecast of additional cuts next year is due to the change in leadership, not our read on the economy," analysts at BofA said in a note.

White House economic adviser Kevin Hassett has emerged as the frontrunner to be the next U.S. Federal Reserve chair, according to reports last week. BofA's shift follows dovish signals from key officials, including New York Fed President and FOMC Vice Chair John Williams, which have fueled bets on an earlier cut.

(MSN - Continue Reading)

Republican senators are panning President Trump’s latest proposals to help Americans cope with high prices and a slowing economy, a sign of waning confidence among GOP lawmakers in the president’s ability to overhaul the nation’s $30 trillion economy.

Capitol Hill Republicans are becoming more sensitive to how Trump is responding to higher prices as they face relentless attacks from Democrats, who plan to make “affordability” their top issue in the 2026 midterm elections.

The cost of a classic Thanksgiving dinner is about 5 percent cheaper than it was during former President Biden’s final year in office, according to the American Farm Bureau Federation, but many GOP lawmakers say high prices are still a major problem for the party in power.

(The Hill - Continue Reading)