Topline
U.S. stock futures fell sharply early on Tuesday, signaling investor concerns about President Donald Trump’s tariff threats against key European allies amid his push to take control of Greenland.
U.S. President Donald Trump tours the Ford River Rouge Complex on January 13, 2026 in Dearborn, Michigan.
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Key Facts
In early trading on Tuesday, the benchmark S&P 500 Futures Index sunk 1.73% to 6,856 points, while Dow Futures fell 1.61% to 48,751 points.
The tech-centric Nasdaq futures index was the worst hit, diving more than 2% to 25,157 points.
European markets were also hit, with the pan-European STOXX Europe 50 falling 1.32% amid Trump’s threats to impose fresh tariffs on countries opposing his bid to take over Greenland.
The London Stock Exchange’s benchmark FTSE 100 index sunk 1.32% while Germany’s DAX and France’s CAC 40 fell 1.37% and 1.20% respectively.
What Do We Know About Trump’s Tariff Threat Against Europe?
On Saturday, President Donald Trump announced he will impose a 10% tariff on eight European countries who have recently deployed military personnel in Greenland following his threat to take over the Arctic territory. In a post announcing the decision on Truth Social, Trump said Denmark, Norway, Sweden, France, Germany, the United Kingdom, the Netherlands and Finland will be impacted and the levy will go into effect on Feb. 1. The sweeping tariff covers all exports and will increase to 25% in June and remain in effect until the U.S. takes control of Greenland.
What About Other Tariff Threats Against European Countries?
French President Emmanuel Macron has publicly criticized Trump’s tariffs against Europe over Greenland as “unacceptable” and has even reportedly refused to join his proposed “Board of Peace” for Gaza. When asked about this on Monday night, Trump told reporters: “Well, nobody wants him because he’s going to be out of office very soon.” Trump then claimed Marcon was being hostile towards him and said: “ I’ll put a 200% tariff on his wines and champagnes,” and maybe then the French president would join the board. Trump’s latest threat triggered a selloff of shares of key publicly listed French wine makers. Shares of LVMH—which owns brands like Moët & Chandon and Dom Pérignon—fell nearly 2.9% to €566 ($663), while Remy Cointreau’s shares dropped 2.4% to €38 ($44.50).
This is a developing story.
Source: https://www.forbes.com/sites/siladityaray/2026/01/20/us-futures-nosedive-amid-trumps-tariff-threats-over-greenland/
