Canada's TSX benchmark briefly spiked Friday morning after the US Supreme Court struck down President Donald Trump's global tariffs. The unexpected ruling sent Canadian markets higher as investors recalibrated expectations for trade flows between the two nations. The TSX Composite Index jumped in early trading before moderating gains.

The Supreme Court decision eliminates a major trade barrier that had threatened cross-border commerce. Trump's tariff regime had created uncertainty for Canadian exporters and manufacturers reliant on US markets. The ruling removes a significant headwind for Canada's export-driven economy.

Market analysts noted the tariff decision could boost Canadian equities in the near term, particularly in sectors with heavy US exposure. However, the initial rally proved short-lived as broader market concerns about global growth and interest rates reasserted themselves. The episode highlights how quickly sentiment can shift on trade policy developments.