Supreme Court Strikes Down Tariffs, Stocks Rise

On Friday, Feb. 20, 2026, U.S. stocks diverged as the Supreme Court issued a 6-3 ruling striking down large portions of the administration's tariff authority under IEEPA, while the BEA reported real fourth-quarter GDP rose 1.4% annualized versus a 2.5% estimate. The Nasdaq led gains (up 0.41%) as tech stocks rallied, but sticky core PCE inflation at 3% and weak growth complicate the Fed outlook.