Trump's Greenland Remark: New Course in U.S.-Danish Relations

U.S. President Donald Trump withdrew threats of imposing tariffs to seize Greenland, indicating a deal was near. This change eased financial markets and rattled NATO allies. Trump tasked key figures for further negotiation, distancing from using force. The market responded with a rally after earlier declines.

President Donald Trump has unexpectedly reversed his stance on imposing tariffs aimed at acquiring Greenland, cooling tensions that had threatened to severely impact transatlantic relations.

On his platform Truth Social, Trump announced a framework for an agreement concerning Greenland and the Arctic, halting scheduled tariffs. His decision comes after his speech at the World Economic Forum in Davos, where he reassured NATO Secretary General Mark Rutte and financial markets.

Assigning Vice President JD Vance and Secretary of State Marco Rubio to continue talks, Trump confirmed their progress. His assurance against using force quelled the market's volatility, leading to a notable rally in the S&P 500 index.

(With inputs from agencies.)