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Economy in a snap
A quick look at the biggest shifts in business and the economy.
Nischal Konduru
June 01, 2025
Markets: Stocks closed a winning month yesterday, with the S&P 500 having its best rally since 2023. However, markets are still influenced by the trade war and stocks were becoming unstable after Trump accused China of breaching its recent trade deal with the US. It has been projected that tariffs would cost the retail chain up to $150 million this fiscal year.
ECONOMY
The Federal Court determined that Trump did not have the authority to impose tariffs that he’s enforced since January. That includes the sweeping “Liberation Day” tariffs of 10% or more on all foreign goods, as well as additional tariffs on Canadian and Mexican imports, which Trump introduced under the International Emergency Economic Powers Act (IEEPA).
Are Tariffs really Over?
The White House Court officials insisted that using the (IEEPA) to implement tariffs is only one among many plans as Trump has plenty of other legal options to impose tariffs:
Federal Law allows Trump to impose tariffs up to 15% for up to 150 days in situations where imports exceed exports.
He could also use a legal provision called Section 232 to impose industry-specific tariffs.
However, experts say that the uncertainty surrounding whether Trump’s tariffs will pass legal might push some countries to pause negotiating trade deals with the US.
WORLD
United Airlines and JetBlue are forming an alliance: The United Airlines and JetBlue Airways announced a partnership last week that will allow customers to book and use tools across both websites. Starting in 2027, this partnership will allow United Airlines to return to New York’s JFK Airport, which it left in 2015. JetBlue gets the expanded reach, allowing it to reach new customers.