Analysts: Markets underestimate the risk that U.S. tariffs could be overturned by federal courts

Lale Akoner, an analyst at eToro, said the market is underestimating the risk that U.S. tariffs could be overturned by a federal court. "If that happens, I think President Trump will have to refund those tariff revenues." He may need to go through a longer process. That will lead to more uncertainty. The risks are bad for U.S. assets. The purpose of the tariffs is to increase revenue because Trump's tax and spending bill will increase the national debt. The U.S. Court of Appeals for the Federal Circuit last week cast doubt on Trump's attempt to justify his use of emergency powers to impose global tariffs.