The U.S. Supreme Court did not rule on the legality of Trump’s tariff policy on Tuesday and then entered a four-week recess, postponing the next ruling window to February 20th. Trump responded that if the ruling is unfavorable, he will adopt alternative measures such as a “licensing system” to advance tariff measures, highlighting his tough stance.

Fed personnel changes have also attracted market attention. U.S. Treasury Secretary Janet Yellen revealed that Trump has narrowed down the candidate pool for the next Fed Chair to four people, with a final decision expected next week. Earlier, Trump attempted to remove Fed Governor Lael Brainard, and the Supreme Court will hold a hearing on the case on Wednesday, challenging the Fed’s independence.

Policy uncertainty has intensified market volatility: the U.S. Dollar Index fell 0.50% to 98.55, and the euro against the dollar rose 0.70% to 1.1727. CICC analysts pointed out that the Trump administration is accelerating the promotion of “financial repression” policies, trying to lower financing costs by putting pressure on the Fed and controlling interest rates, which may reshape the global monetary policy framework in the medium and long term. Investors need to be alert to market risks brought by policy changes.