Investors Likely Treating Trump's Tariff Threat Against Europe Over Greenland as Two Major Shocks -- Market Talk

Dow Jones01-19 10:22

0222 GMT - Investors are likely treating President Trump's tariff threat against Europe over Greenland as two major shocks, Saxo Markets' Charu Chanana says in an email. "It's notable that the market response is risk-off without a clear 'USD up' move," the chief investment strategist says. Together with the euro holding up, this suggests "investors are treating this as a geopolitical and institutional shock as much as a pure growth shock," she says. "The key issue is that tariffs are being positioned as leverage for almost everything, not just trade, and that creates a stickier risk premium because the range of outcomes is wider and harder to hedge," Chanana adds. (ronnie.harui@wsj.com)

 

(END) Dow Jones Newswires

January 18, 2026 21:22 ET (02:22 GMT)

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