President Trump arrived at the World Economic Forum in Davos today facing resistance from European leaders as he continued pushing his effort to acquire Greenland, a Danish territory. Both US equities and bonds had sold off late last week and again on Tuesday on concerns that the dispute could trigger further tariff escalation. Trump emphasized Greenland’s strategic Arctic importance, particularly amid growing competition with Russia and China, and had previously refused to rule out using military force on the island, citing the existing U.S. military base there.

However, in his speech today in Davos, he backed away from that stance and said he would not use force, even as he continued arguing that only the United States can defend the island. His remarks, referring to Greenland as “our territory” and criticizing Denmark as “ungrateful,” drew sharp reactions from European officials worried about NATO stability. Tensions were already elevated after an exclusive dinner the prior evening, hosted by BlackRock, where Commerce Secretary Lutnick delivered a sharply combative speech criticizing Europe’s competitiveness and broader economic model. His remarks drew widespread jeering and prompted multiple walkouts, including European Central Bank President Christine Lagarde, ultimately forcing the event to be cut short before dessert.

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