Société Générale: If the Supreme Court overturns Trump's tariffs, the dollar may fall accordingly

According to Jinshi Data, BNP Paribas pointed out in its 2026 outlook report that if the U.S. Supreme Court rules that President Donald Trump's use of emergency powers to impose comprehensive tariffs is unconstitutional, the dollar may weaken immediately after the ruling. "This is because a key source of fiscal revenue would be negatively impacted, leading to market doubts about the sustainability of the U.S. fiscal deficit," analysts said. This could result in investors demanding a higher premium to hold dollar assets. However, the report also noted that the Trump administration may ultimately compensate for the fiscal gap caused by the loss of tariff revenue by implementing alternative tariff measures.