MARKET SNAPSHOT
U.S. stocks fell sharply after President Trump doubled down on his desire to take over Greenland. The U.S. dollar weakened and Treasury yields rose, with the 10-year touching its highest level since August. Investors sought safety in traditional havens, pushing gold prices to a fresh record. Oil futures settled higher on reports of a production halt in Kazakhstan's major Tengiz oilfield.
MARKET WRAPS
EQUITIES
Stocks tumbled Tuesday as markets moved back into trade-war mode.
The Dow Jones Industrial Average fell 1.8%, the S&P 500 decreased 2.1%, and the Nasdaq Composite dropped 2.4%.
Big technology names such as Nvidia, Alphabet and Amazon skidded, with all of the so-called Magnificent Seven growth stocks down at least 1.1%.
President Trump doubled down on his desire to take over Greenland, firing off social-media posts on his way to the World Economic Forum in Switzerland. He is expected to spar with leaders there about his territorial ambitions and his threats to torpedo the U.S.-European trade relationship if he doesn't get what he wants.
Markets in Asia closed lower on Tuesday.
China's benchmark Shanghai Composite Index ended flat, the Shenzhen Composite Index fell 0.8%, and the ChiNext Price Index dropped 1.8%.
Hong Kong's Hang Seng Index declined 0.3% as tech stocks dragged.
Japan's Nikkei Stock Average fell 1.1% as technology and basic material stocks dropped.
Stocks in Australia slipped, as the S&P/ASX 200 Benchmark Index fell 0.7%.
New Zealand's S&P/NZX 50 Index closed flat.
COMMODITIES
Oil futures settled higher on reports of a production halt in Kazakhstan's major Tengiz oilfield due to power-grid interruptions, while broader geopolitical tensions continue to keep prices bid.
Reuters cited industry sources as saying output at Tengiz could be halted for seven to 10 days.
"Prices are higher today on prolonged shut-ins at Kazakhstan's Tengiz field, but Iran still looms large on the horizon," Mizuho's Robert Yawger said. "Iran has cooled in the past couple days, but the situation remains fraught with danger."
WTI for February delivery went off the board at $60.34 a barrel, up 1.5%. Brent rose 1.5% to $64.92.
The market reaction to President Trump's latest tariff offensive, this one targeting the EU over the U.S. acquisition of Greenland, sent precious metal futures soaring while other assets took a hit.
The overall message markets are giving is a dislike of the new tariff threats, said Capital Economics.
"It's pretty clear that investors don't like Trump's plans, which he may elaborate on tomorrow at Davos," said the firm.
Capital Economics pointed out that it took a prolonged negative reaction from markets to prompt Trump to step back from his sweeping Liberation Day tariff plan last year.
Front-month gold settled up 3.7% to $4,759.60 a troy ounce, while silver rose 6.9% to $94.206 per troy ounce.
TODAY'S TOP HEADLINES
Trump to Hold Meeting on Greenland in Davos
President Trump said he had agreed to a meeting at the World Economic Forum in Davos over Greenland after a "very good" call with the head of the North Atlantic Treaty Organization.
"I had a very good telephone call with Mark Rutte, the Secretary General of NATO, concerning Greenland," Trump wrote on Truth Social.
"I agreed to a meeting of the various parties in Davos, Switzerland. As I expressed to everyone, very plainly, Greenland is imperative for National and World Security. There can be no going back - On that, everyone agrees!"
U.S. to Press Ahead With EU Trade Deal Despite Opposition, Bessent Says
Treasury Secretary Scott Bessent said he expects to go ahead with the U.S.'s trade deal with the European Union, despite some EU lawmakers saying they might hold up the agreement over President Trump's comments over Greenland.
"We're in the midst of completing a very good trade deal for both sides, so the plan is to go ahead with the trade deal," Bessent said Tuesday at the World Economic Forum in Davos, Switzerland.
Some European lawmakers have said they might put the implementation of the trade deal on hold after President Trump's threat over the weekend of additional tariffs on eight European nations that didn't agree with his desire to acquire the Arctic territory.
Netflix Revenue and Profit Rise as Subscriptions Top 325 Million
Netflix on Tuesday reported increased revenue and profit in its fourth quarter compared with a year prior, as popular series such as the final season of "Stranger Things" boosted viewership of the company's originals.
The streamer reported revenue of $12.05 billion, up almost 18% from the same period a year earlier. Net income was $2.42 billion, a roughly 29% rise from the fourth quarter of 2024.
The company's quarterly revenue and profit topped analyst expectations, according to data from FactSet.
United Projects Higher Profit, Boosted by Bigger-Spending Travelers
United Airlines expects earnings to jump this year, with its pricier seats and loyalty program outperforming standard ticket sales.
The Chicago-based carrier said revenue from its premium offerings, such as first-class and extra-legroom seats, grew 9% in the final quarter of 2025, compared with the same period a year earlier. That outpaced total revenue, up about 5% at $15.4 billion.
The sales growth came despite last fall's U.S. government shutdown, which led airlines to cancel flights after the Federal Aviation Administration ordered cuts to air traffic. United's pretax earnings took a hit of about $250 million from the shutdown.
Warner Strikes New All-Cash Deal With Netflix
Warner Bros. Discovery and Netflix said Tuesday they struck a new all-cash deal for Netflix to buy Warner's studios and HBO Max streaming business. Warner also released financial details on the cable-networks business it plans to spin off.
The all-cash deal of $27.75 per share replaces Netflix's previous cash-and-stock deal. The sweetened offer comes as rival bidder Paramount continues pushing its own all-cash offer for all of Warner Discovery. The value of Netflix's offer remains $72 billion.
Warner and Netflix said they expect the new structure to enable Warner shareholders to vote on the deal by April. The change could also help sway some shareholders who might be weighing its bid against Paramount's.
Expected Major Events for Wednesday
00:00/AUS: Dec Vacancy Report
00:00/SKA: Jan Trade data - 1st 20 days of month
00:00/AUS: Nov Westpac-Melbourne Institute Indexes of Economic Activity
06:30/INA: Jan Bank Indonesia Board of Governors meeting and decision
09:59/CHN: Dec FDI Foreign Direct Investment
20:00/NZ: Dec REINZ Monthly Housing Price Index
20:00/NZ: Dec REINZ Residential Market Report
21:45/NZ: Dec Electronic Card Transactions
23:00/SKA: 4Q Advance GDP
23:50/JPN: Dec Provisional Trade Statistics for the Month
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(END) Dow Jones Newswires
January 20, 2026 16:50 ET (21:50 GMT)
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