Markets News, Jan. 20, 2026: Stocks Close Sharply Lower After Trump Threatens New Tariffs Over Greenland; Gold, Silver Hit All-Time Highs
By AARON RENNIE Updated January 20, 2026 06:17 PM EST
Stocks posted their worst day in months amid escalating geopolitical tensions.
Michael Nagle / Bloomberg / Getty Images
Major stock indexes finished sharply lower Tuesday after President Donald Trump threatened to impose new tariffs on eight NATO allies for opposing his desired sale of Greenland to the U.S.
The tech-heavy Nasdaq, benchmark S&P 500, and blue-chip Dow Jones Industrial Average ended down a respective 2.4%, 2.1%, and 1.8%, with the Dow shedding 870 points, after Trump wrote on his Truth Social network Saturday that the allies would face 10% U.S. import tariffs on Feb. 1 and 25% tariffs beginning June 1 "until such time as a Deal is reached for the Complete and Total purchase of Greenland."
Stock and bond markets were closed yesterday for the Martin Luther King Jr. Day holiday.
Big tech stocks, which have powered much of the market's growth in recent years amid the AI boom, led declines Tuesday, with shares of Magnificent Seven firms Nvidia (NVDA), Alphabet (GOOGL), Apple (AAPL), Microsoft (MSFT), Amazon (AMZN), Meta Platforms (META), and Tesla (TSLA) all down between 1.2% and 4.5%, and chipmaker Broadcom (AVGO) was nearly 5.5% lower.
Trump said he would meet with "various parties" about Greenland at the World Economic Forum in Davos, Switzerland, where he is expected to speak on housing affordability on Wednesday.
The yield on the 10-year Treasury, which impacts interest rates on a variety of consumer loans including mortgages, jumped seven basis points to roughly 4.29% at 4 p.m. ET, and safe-haven gold and silver futures rose to fresh all-time highs of more than $4,760 an ounce and $95.75 an ounce, respectively.
Bitcoin was trading near $89,500, down from overnight highs around $93,300. The U.S. dollar index, which tracks the value of the greenback against a basket of global currencies, fell almost 0.8% to 98.61. West Texas Intermediate crude futures, the U.S. benchmark, advanced 1.8% to about $60.55 a barrel.
Shares of Netflix (NFLX), which reports quarterly results after the close Tuesday, closed more than 1% lower after Warner Bros. Discovery's (WBD) board approved its $27.75 all-cash offer to acquire the latter's studios and HBO Max streaming service, amended from its prior offer of cash and stock. Those of Paramount Skydance (PSKY), which is attempting a hostile takeover of WBD, were 2.1% lower, while WBD stock was down 1.2%.
In post-earnings moves, 3M (MMM) and Fastenal (FAST) shares declined roughly 7% and 2.5%, respectively, after they reported results before the bell.
Markets News, January 20, 2026
Due to new tax threats over the Greenland issue, the stock markets plummeted significantly, with gold and silver prices reaching historic highs.
Writer — Aaron Rennie
Last updated — January 20, 2026, 6:17 PM (EST)
Due to increasing geopolitical tensions, stock markets experienced their worst day in a month.
After threatening new taxes on eight NATO allies unwilling to sell Greenland to the U.S., President Donald Trump caused major indices to plunge on Tuesday.
The Nasdaq fell by 2.4%.
The S&P 500 fell by 2.1%.
The Dow Jones fell by 1.8%, losing around 870 points.
Trump stated on Truth Social last Saturday that he would impose a 10% tax starting from February 1 and a 25% tax starting from June 1, saying he would continue to impose taxes until a deal for the complete purchase of Greenland is reached.
Due to the Martin Luther King Jr. Day holiday, stock and bond markets were closed yesterday.
Due to the AI wave, big tech stocks that significantly drove the market in recent years led to major declines, with shares of Nvidia, Alphabet, Apple, Microsoft, Amazon, Meta, and Tesla falling between 1.2% and 4.5%. Broadcom stocks also fell by about 5.5%.
Trump announced that he would meet with various organizations at the World Economic Forum in Davos, Switzerland, to discuss the Greenland issue, and is expected to speak on housing prices on Wednesday.
The U.S. 10-year Treasury yield rose by about seven basis points to reach 4.29%.
Gold and silver futures prices, classified as secure assets, have reached historic highs.
Gold rose to over $4,760 an ounce.
Silver rose to $95.75.
Bitcoin was trading around $89,500, down from the previous night's high of $93,300.
The dollar index fell by about 0.8% to 98.61.
WTI crude oil futures rose by 1.8% to around $60.55 per barrel.
Netflix stocks fell by over 1% after Warner Bros. Discovery confirmed it would acquire HBO Max and studios for $27.75 billion.
Paramount Skydance stocks fell by 2.1%, while WBD stocks fell by 1.2%.
After the earnings report, 3M stocks fell by about 7%, and Fastenal stocks fell by about 2.5%.
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