On Thursday, news broke that the US will likely start levying a 100% tariff on branded pharmaceutical imports. The specifics remain unclear, but the levy is expected to be relatively narrow in scope, since many exemptions have already been negotiated.
US President Donald Trump signed an executive order that could slap up to 100% on certain imported medicines from companies that don't reach deals with his administration in the coming months, Bloomberg reported on Thursday.
In 2025, US–China trade tensions led to a sharp drop in US imports from China, while Chinese exports to other regions increased, indicating early signs of trade diversion.
The Supreme Court ruling removes Trump’s ability to make threats and accept bribes to change tariffs, but he has plenty of other ways to make threats and take bribes. From an economics point of view, the Court decision doesn’t really alleviate uncertainty.
The Supreme Court ruling on International Emergency Economic Powers Act (IEEPA) tariffs provides limited relief for the rest of the world, with weighted average tariff rates modestly lower.
On February 20th, the Supreme Court ruled that Trump’s global tariffs under IEEPA authority were unconstitutional, effectively nullifying the framework. However, the relief was short-lived. Within hours, Trump floated a 15% blanket tariff under an alternative legal authority.
EUR/USD comes under renewed selling pressure in the second half of the day on Tuesda and trades at its lowest level since June 2025 below 1.1400. Mixed PMI data from Germany and the Eurozone makes it difficult for the Euro to find demand, while the risk-averse market atmosphere supports the USD, forcing the pair to stay on the back foot. Traders now await the US PMI data.
GBP/USD loses further ground toward 1.3200 in the second half of the day on Tuesday. Political uncertainty in the United Kingdom weighs on the British Pound, alongside weak business PMI data for June. Meanwhile, the US Dollar capitalizes on the risk-off mood and hawkish Fed bets ahead of the US PMI release.
S&P Global will release the June flash Purchasing Managers' Indices for most major economies, with the United States data scheduled on Tuesday. These surveys of top private-sector executives are seen as an early indicator of the country’s economic health.
Gold (XAU/USD) turns south following Monday's rebound and trades deep in the red near $4,100 on Tuesday. Despite positive signals from US-Iran peace talks, widespread skepticism remains toward a final deal and weighs on the precious metal. In the meantime, the USD gathers strength on hawkish Fed expectations and drags XAU/USD lower.
Dogecoin (DOGE) remains under pressure, trading below $0.09 after failing to break above a key resistance zone, and losing more than 7% last week. Weakening institutional interest, declining social dominance and a rise in bearish derivatives positioning continue to weigh on DOGE. In addition, deteriorating momentum indicators suggest the meme coin risks a deeper correction.
