Donald Trump Economic Policy

Nearly three months after expedited oral arguments in November over the Trump administration’s use of the International Emergency Economic Powers Act to impose tariffs, the Supreme Court has not issued a decision, extending legal and economic uncertainty. The consolidated case—brought by companies including an educational toy maker and a family‑owned wine and spirits importer—leaves tariffs in place while hundreds of businesses seek refunds, and observers say justices’ concerns about the major‑questions and nondelegation doctrines, a possible closely divided Court, and slow opinion drafting may explain the delay.

Bank of America is reportedly weighing a new credit card that would carry a 10% APR after President Trump urged a one‑year 10% cap to take effect Jan. 20, but banks have largely left rates unchanged amid no statute, regulation or clear enforcement mechanism and legal experts and the CFPB say it’s unclear a president can unilaterally impose such a limit. Economists and industry groups say a hard cap could save consumers tens to hundreds of billions annually (Vanderbilt estimates about $100 billion) yet would slash bank revenue, prompt credit‑line cuts or higher‑cost alternatives, and has drawn sharp pushback from Wall Street even as some lawmakers and fintechs move to align with the proposal.

At Davos, Trump blasted the UK–Mauritius plan to transfer sovereignty over the Chagos Islands as an “act of great stupidity,” warning it would imperil the U.S. base on Diego Garcia despite London’s plan to retain the facility under a 99‑year lease, and analysts say he is tying opposition to the handover into a broader “Trump Doctrine” that bolsters his push for control of strategic Arctic territory. He has linked that Arctic push to coercive measures — threatening tariffs on European allies over Greenland before saying he would not impose them after a reported “framework” was reached in talks with NATO secretary‑general Mark Rutte and naming negotiators — a move that sparked a market rally even as Danish officials, Arctic experts and historical records dispute his claims about Greenland’s sovereignty and foreign naval activity.