Company Interview / the open: ASX to drop amidst tariff uncertainty

The local market is set to open lower with ASX futures off by 0.2%, with global stocks finishing mostly higher overnight, as markets considered the court battle over President Trump’s reciprocal tariffs. 

A US federal appeals court reinstated the most sweeping of President Trump's tariffs, a day after a trade court had ruled that he had exceeded his authority in imposing the duties. The court directed the plaintiffs to respond by June 5th and the Trump administration by June 9th. The administration says that they expected either to prevail on appeal or employ other presidential powers to ensure the tariffs go into effect. 

US stocks ended slightly higher following an appeals court ruling that reinstated most of those tariffs with investors seemingly unfazed by the development. The US dollar fell on the prospect of a drawn out court battle over Trump’s tariffs, whilst the Australian dollar is up at US64.5c. 

Oil prices have retreated from earlier gains on renewed uncertainty over the tariffs. Brent crude futures are down 1.2% to $64 a barrel. Copper was little changed and iron ore rose 0.9% to $98 a ton. 

Locally today the retail trade data for April will be revealed, alongside the private sector credit and building approvals.