Overview
- President Donald Trump threatened new import levies on eight European nations at 10% from February 1, rising to 25% on June 1, until the United States secures a deal for control of Greenland.
- EU leaders condemned the move as coercive and prepared countermeasures, including an emergency summit and potential reinstatement of a suspended €93 billion tariff package, with the Anti‑Coercion Instrument under discussion.
- U.S. stock futures fell sharply in thin holiday trading, with S&P 500 contracts down about 0.9% and Nasdaq futures off 1.1%, as the dollar weakened against the yen and Swiss franc.
- Safe‑haven flows lifted gold by roughly 1.7% and firmed 10‑year Treasury futures, while oil eased on growth and trade concerns.
- Asia‑Pacific markets were poised for a softer open, with the ASX indicated flat to slightly lower, as investors also awaited China’s fourth‑quarter GDP and December activity data expected near 4.4%–4.5%.