Dow Plunges 870 Points, S&P 500 Drops 2% on Trump's Greenland Tariff Threat

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CNBC TV18•21-01-2026, 02:42
Dow Plunges 870 Points, S&P 500 Drops 2% on Trump's Greenland Tariff Threat
- •US stock markets experienced significant losses on Tuesday, with the Dow Jones Industrial Average shedding 870 points (1.8%).
- •The S&P 500 dipped 2.1% and the Nasdaq Composite slid 2.4%, marking the worst day for the S&P 500 since October.
- •The market downturn was triggered by President Donald Trump's intensified rhetoric on Greenland, threatening tariffs on countries opposing its sale to the US.
- •US Treasury yields spiked and the US dollar declined as investors moved away from US assets.
- •The Cboe Volatility Index (VIX), known as Wall Street's "fear gauge," surged to 20.69, a level not seen since November 25.
Why It Matters: US stocks plummeted due to Trump's Greenland tariff threat, causing investor flight from US assets.
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