Wall Street Woes: Tariff Tensions with Europe Shake Markets

Wall Street's main indexes fell to three-week lows as new tariff threats from President Trump against Europe unnerved investors. Concerns stemmed from a dispute over Greenland, with tariffs set to rise if a deal isn't reached. Investors face a busy week with key economic data and earnings reports.

Wall Street's main indexes have begun the holiday-shortened week on a negative note after President Donald Trump issued fresh tariff threats against Europe. The move sent major indexes sliding to three-week lows on Tuesday, fueled by fears around a dispute over the control of Greenland, causing a surge in gold prices and destabilizing global stocks.

Trump announced additional 10% import tariffs on European goods, which will increase to 25% by June 1 unless the U.S. can secure a purchase of Greenland. While Trump views this as a negotiation tactic, the response from Denmark and Greenland remains unchanged, with Greenland not for sale.

Amidst the geopolitical tension, U.S. markets face a busy week packed with significant economic data releases and corporate earnings announcements. Investors will closely monitor these events to navigate the current volatile market conditions.

(With inputs from agencies.)