Market Highlights

Stocks advanced while bonds and the dollar slipped as traders deemed the rejection of Donald Trump’s tariff program to be a potential stress on government financesthat is unlikely to change the economy’s course. After a brief drop, the S&P 500 bounced. The president, rebuked by Supreme Court justices earlier in his bid to impose far-reaching tariffs, said he’ll impose a 10% global levy on trading partners, and claimed that various categories of his existing program remain in place. Still, uncertainties about any potential budget shortfall kept a lid on the greenback and Treasuries. The dollar and S&P 500 futures declined as ambiguity over trade policy damped sentiment toward US assets and raised the prospect of heightened volatility across global markets.