The United States Supreme Court announced on Friday, January 9, 2026, that it would not issue its much-awaited ruling on the legality of tariffs imposed by former President Donald Trump. This deferral prolongs a period of significant uncertainty for global trade and financial markets worldwide. Indian markets, in particular, reacted with caution, with benchmark indices like the Nifty and Sensex exhibiting pressure and flat to negative movements throughout the trading session. This market sentiment reflects investor anxiety over potential disruptions to international trade and capital flows, especially given India's strong trade linkages with the US. At the heart of the legal battle is the Trump administration's use of the 1977 International Emergency Economic Powers Act (IEEPA) to impose sweeping tariffs on various imports, citing national security and economic emergency concerns. Lower courts had previously ruled that Trump exceeded his presidential authority by using IEEPA for these broad-based duties, escalating the matter to the Supreme Court. The tariffs, which have accumulated an estimated $133.5 billion to $150 billion (and potentially up to $195 billion for fiscal 2025) from importers, could be subject to refunds if the Supreme Court ultimately rules against their legality. Experts and administration officials, including Treasury Secretary Scott Bessent, have indicated that the White House has contingency plans to re-impose tariffs through other legal mechanisms, such as Section 232 or Section 301 of trade laws, should the IEEPA tariffs be struck down. The Supreme Court has not yet indicated when the ruling will be delivered, with speculation pointing to January 14 or later in the month. This ongoing uncertainty continues to weigh on global economic outlooks and trade policies.