Stock futures slumped after Trump’s weekend tariff tantrum added uncertainty to American trade policy and was another blow to bullish outlooks for 2026. The Supreme Court’s tariff ruling means a big source of fiscal revenue from 2025 may have to be refunded (although if it is refunded to US consumers, who bore the brunt of tariffs as most liberals analysts concluded, it would represent a huge pre-midterm stimulus). As of 8:00am ET, S&P futures were 0.5% lower, giving up almost all Friday gains, while Nasdaq 100 contracts sliding -0.6%. In pre-market trading, there is a defensive tone as Mag7 names are mostly lower, Semis are coming for sale (NVDA flat ahead of earnings on Wednesday); and, most sectors are seeing weakness with pockets of positive performance in HC, Aero/Def, Materials, and Utilities. “We started 2026 with a bullish outlook — but not even two months into the year, many of our assumptions are being challenged,” wrote the Bloomberg Economics team led by Anna Wong. The risk of war in Iran and the AI scare are also denting optimism. The dollar recouped losses while bond yields are flat-to-down 1bp after spiking on Friday on fears the SCOTUS ruling will unleash much more debt issuance. Commodities are seeing weakness in Energy with WTI down 60bp, Ags being sold perhaps on lower tariffs, and precious metals maintain their incessant bid. Today we get factory orders and the final December durable goods report. Key events this week include Trump’s State of the Union Address tomorrow, Nvidia earnings on Wednesday and PPI data on Friday.