#greenland
Greenland #tarrifnews : What happened, and how to position for the new Europe risk premium
Key points
Trump threatened 10% tariffs from Feb 1 on goods from eight European countries - Denmark, Norway, Sweden, France, Germany, the Netherlands, Finland and the UK, tied to the demand that the US be allowed to buy Greenland. Europe is moving in two lanes: leaders are trying to de-escalate, while EU officials also discuss retaliation options, including the EU’s Anti-Coercion Instrument (ACI).Markets have treated this as US policy/institutional risk, not a clean “sell Europe” story: the USD weakened, safe havens outperformed, and gold and silver surged to record highs.
Over the weekend, President Trump threatened a new round of tariffs on goods from Denmark, Norway, Sweden, France, Germany, the Netherlands, Finland and the UK, with reporting flagging 10% from February 1 and a possible step-up later.
The tariff threat is linked to the US being allowed to buy Greenland, which makes this less about trade balances and more about geopolitical bargaining. That matters because the outcome set is wider and less linear (negotiate, delay, escalate), and markets tend to price headline gap risk aggressively when politics drives the timetable.$BTC
