U.S. President Donald Trump reacts as he leaves the congress centre during the World Economic Forum (WEF) annual meeting in Davos on Jan. 21, 2026.
Fabrice Coffrini | AFP | Getty Images
The tariff clock stopped just in time.
U.S. President Donald Trump announced Wednesday that he and NATO Secretary General Mark Rutte have agreed on what he called a “framework of a future deal” involving Greenland, prompting him to pull back threatened tariffs on European countries that were set to take effect Feb. 1.
Details, for now, remain elusive. Trump described the framework as more of a “concept” in an interview with CNBC’s Joe Kernen, saying it would involve U.S.-European collaboration on a proposed Golden Dome missile defense system and access to mineral resources in Greenland.
Trump, however, demurred when pressed for specifics, saying, “It’s a little bit complex, but we’ll explain it down the line.”
Markets did not wait for the footnotes. The “sell America” trade that rattled investors earlier this week quickly reversed on the news. U.S. stocks shot up, with major indexes climbing more than 1% by the close, while the 10-year Treasury yield fell and the U.S. dollar index strengthened.
Other topics Trump discussed with CNBC include his pick for the next Federal Reserve chair, U.S. involvement in Iran and his push to cap interest rates on credit cards.
Trump had given a speech earlier in the day at the World Economic Forum in Davos, where he called for “immediate negotiations” over Greenland’s future but said the U.S. would not pursue military action.
The developments capped a striking day at Davos, whose theme this year was “A Spirit of Dialogue,” even as discussions across the conference were dominated by frayed alliances and geopolitical tension.
For now, at least, dialogue appears to have done its job, as discussions between Trump and Rutte over Greenland helped lower temperatures over the icy island.
— CNBC’s Kevin Breuninger contributed to this report.
What you need to know today
U.S. has a Greenland deal ‘framework’: Trump. The U.S. president said Wednesday he and NATO Secretary General Mark Rutte have formed a “framework of a future deal with respect to Greenland,” prompting him to call off threatened tariffs on European countries.
European lawmakers suspend U.S. trade deal. Bernd Lange, chair of the European Parliament’s Committee on International Trade, said Trump’s plans to impose tariffs on European nations go against the terms of the trade pact.
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