Stock markets plunge as Trump ramps up tensions over Greenland
Stock markets experienced sharp declines amid escalating tensions from President Donald Trump’s renewed push to acquire Greenland from Denmark. His threats of tariffs on multiple European NATO allies, including Denmark, Norway, Sweden, France, Germany, the UK, Netherlands, and Finland, triggered investor fears of a broader trade war.
Wall Street saw its worst day since October, with the S&P 500 dropping nearly 2.1%, the Nasdaq Composite falling around 2-2.4%, and the Dow Jones Industrial Average plunging 800-870 points (about 1.8%).
Asian markets like Japan’s Nikkei 225 and Korea’s KOSPI shed over 1% initially, while European indices also closed lower; safe-haven assets such as gold hit record highs and the U.S. dollar weakened.
Trump cited U.S. security needs against China and Russia in the Arctic, threatening 10% tariffs starting February rising to 25% by June unless a deal is reached; he hinted at military options but expressed optimism for resolution at Davos.
