Greenland

Bloomberg - Market reaction was swift with US futures dropping as the standoff over Greenland deepens. Treasuries also fell as the allure of US assets dimmed. Investors are looking for havens, pushing gold to a record high, while silver also reached an all-time peak with trade war fears rising. 

Time -  President Donald Trump’s threat to tariff countries who oppose his campaign to annex Greenland has sparked outrage among global allies, with key world leaders vowing to “uphold European sovereignty.” And it’s not only caused a storm in international waters, as Trump’s warning also prompted a new wave of criticism within his own party.

In a move that U.K. Prime Minister Keir Starmer labeled as “completely wrong,” Trump over the weekend threatened to impose a 10% tariff on European allies Denmark, Norway, Sweden, France, Germany, the Netherlands, Finland, and the United Kingdom beginning Feb. 1 “on any and all goods sent to the United States of America” until Denmark agrees to sell Greenland to the U.S. Trump said the tariff would be increased to 25% on June 1. The threat came after several European NATO allies committed to sending troops to Greenland to take part in military exercises alongside a renewed effort to bolster the security of the Arctic island.

A number of Republicans have already denounced Trump’s pressure campaign to acquire the Kingdom of Denmark territory amid growing concerns over the White House’s refusal to rule out using military force to annex the island. 

“This is appalling. Greenland is a NATO ally. Denmark is one of our best friends… so the way we’re treating them is really demeaning and it has no upside,” Rep. Don Bacon of Nebraska said in early January.