Alex Ossola

The sovereignty and integrity of that territory is non-negotiable.

She warned of a, quote, dangerous downward spiral in the transatlantic partnership.

Meanwhile, Greenland's prime minister said that the island must be ready for the U.S.

to resort to military force.

And one of Germany's highest-ranking military officers warned that the rift between the U.S.

and Europe is making NATO vulnerable to a Russian attack.

The rift could also come with economic consequences.

If President Trump does implement the tariffs, some $100 billion worth of American exports, like Boeing planes and bourbon whiskey, could get caught in the crossfire if the EU retaliates.

EU officials say they are prioritizing dialogue with the Trump administration to avoid escalating the situation.

Speaking at the White House this afternoon, President Trump didn't back off his desire to acquire Greenland.

He expressed confidence that he could reach a deal, saying that he has a lot of meetings scheduled in Davos on Greenland and, quote, I think things are going to work out pretty well.

Also in that press conference.

President Trump is expected to head soon to Davos, where he's scheduled to speak tomorrow.

Trump's comments roiled U.S.

markets.

Major indexes fell sharply, with the Nasdaq tumbling 2.4 percent, the S&P dropping 2.1 percent, and the Dow losing 1.8 percent.

The S&P is now down 0.7 percent year-to-date, the first time in 2026 that the index is down for the year.

And silver and gold futures hit new records as investors sought safe haven trades.

WSJ Markets reporter Hannah Aaron Lang says we've seen this before.

In other news, foreign leaders are responding with caution to an invitation to join President Trump's Board of Peace.