The U.S. Court of Appeals temporarily stays a ruling against President Donald Trump's tariffs, questioning the extent of presidential power under the IEEPA until June.

Earlier this month, Trump threatened Mattel with a 100% tariff on all its toy imports after Mattel CEO Ynon Kreiz said the company would have to consider raising some toy prices due to tariffs and that it wouldn’t shift toy production to the United States, as that would be more expensive than paying the tariffs.

Homebuilder stocks rallied on Thursday, in a sign that residential construction will benefit from the ruling striking down Trump's tariffs.

U.S. Commerce Secretary Howard Lutnick downplayed the impact of legal uncertainty around U.S. tariffs on negotiations with the European Union during an interview with Fox News Sunday, saying talks were ongoing.

The president's plan - where countries face between 11% to more than 100% tariffs on goods brought into the US - was announced in April. But the majority of the tariffs were paused by Trump for 90 days in the wake of stock market volatility.