Investopedia Markets News (all except PF)

Episode 278 of the Investopedia Express podcast with Caleb Silver (Jan. 20, 2026)

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Greenland becomes the new chip in the tariff war, and the European Union threatens to pull out an economic bazooka to deter the White House. Investors have generally looked past the geopolitical turbulence so far, but icy trade relations could finally cool down the stock market's momentum.

Plus, is AI really going to eat our jobs in the future? ADP’s Chief Economist, Nela Richardson, forecasts the future of employment and gives this current labor market a health check.

Links for Show Notes:

• https://mediacenter.adp.com/newsroom
• https://www.investopedia.com/what-to-expect-in-markets-this-week-trump-davos-speech-mlk-holiday-pce-inflation-netflix-intel-earnings-11886065

• Financial markets have withstood recent trade tensions and conflict abnormally well, but that may be changing, said Sergio Ermotti, CEO of UBS Group AG.
• Trade and geopolitical tensions are weighing on investors, and few of these issues appear to be close to a resolution, he said.

There's no clear end in sight for volatility in financial markets, said UBS CEO Sergio Ermotti.

It's "quite abnormal" that markets weren't meaningfully impacted by recent trade tensions and conflict, Ermotti, CEO of UBS Group AG, said on CNBC Tuesday. But investors' appetite for risk appears to be reverting back to historic norms now that the White House is threatening to impose tariffs on nations that oppose U.S. control of Greenland, he said.

"The level of news is starting to weigh on client sentiments," the head of the Swiss banking giant said. "There is a certain amount of news that you can get everyday, and then all of a sudden, one day or the other, it's going to be enough."

The stock market bounced back after plummeting around so-called Liberation Day last April, when the Trump Administration imposed tariffs on most of the U.S.'s trading partners. It's unclear whether the current market volatility is also some sort of short-term noise, or the beginning of more significant shift.

Investors are growing cautious, retaining cash and carefully diversifying, Ermotti said. He said it's challenging to find assets, of any class, that are well-priced.

Major stock indexes tumbled on Tuesday, while gold and silver prices surged to fresh highs as investors absorbed Trump's latest comments on Greenland. President Donald Trump said he would discuss Greenland with "various parties" while attending the World Economic Forum in Davos this week.

Skittishness is unlikely to soften until investors see resolutions to trade disputes and other issues, Ermotti said.

"I don't see any path of normalization in the near future," he said, stating that volatility may continue "until we see the resolution of trade tensions or tariff tensions; or on the topic [of] Greenland, Ukraine."

• Geopolitical uncertainty thwarted bitcoin's advance. Crypto-linked stocks also declined.
• Bitcoin's continued underperformance as a safe-haven asset relative to gold raises questions around its role in investor portfolios.

Geopolitical tension is putting the shine in hedges like gold. Digital gold, not so much.

Volatility has soared after President Donald Trump's latest comments suggested the U.S. might take Greenland by force. The CBOE Volatility Index, also known as the "fear gauge," surged Tuesday above the level that suggests stability in U.S. stocks. As investors panned risk assets, the price of bitcoin also took a hit.

Today's move has for now thwarted bitcoin's latest attempt to retake $100,000 for the first time since November. The largest cryptocurrency by market capitalization is now trading just below $90,000; several crypto-linked stocks, including Coinbase (COIN) and Strategy (MSTR), have declined more than 5% today.

Veteran investors, Ray Dalio among them, have advocated for positions in gold and bitcoin as downside protection, but the crypto's latest slump—in particular relative to gold's rally—renews the key question around bitcoin's role in investor portfolios: Is it a risk asset or a hedge?

Views around bitcoin's effectiveness, or lack thereof, as a portfolio hedge against geopolitical risk, raises questions around what it would take to move cryptocurrency prices back to recent highs.

"We're looking at you know, geopolitical uncertainty and gold trading at all-time highs again, and bitcoin underperforming," Alex Thorn, head of research at Galaxy Digital, a crypto financial services firm, said in an interview with Crypto Prime podcast's Nate Geraci yesterday. "Bitcoin isn't quite doing the thing that it's built to do, at least in real time."

Bitcoin is "living in a split narrative," Bitunix analyst Dean Chen told Investopedia. "Among crypto-native investors, it is increasingly framed as a geopolitical hedge and a non-sovereign store of value. However, for the broader market, Bitcoin is still largely traded as a high-beta risk asset."

Some experts say lumping in bitcoin with gold as a safe-haven asset was misguided. Duke University's Campbell Harvey in a September paper observed that while the assets share some traits, the cryptocurrency's singular characteristics—bitcoin faces existential threats such as potential blockchain attacks—make it "unlikely to replace gold as the preferred safe-haven asset."

The study says that while gold and bitcoin were tightly correlated, moving together from 2022 to 2024, the relationship broke early last year with the precious metal showing its relative appeal as a hedge during crises. Bitcoin, Campbell wrote, "is hardly a safe-haven asset."

Analysts at crypto boutique Bitwise Asset Management in a note last week said that investors shouldn't think about allocating to gold and bitcoin as an either/or question. Historical data would suggest owning "gold during the pullback—and bitcoin during the recovery."

If escalating geopolitical tensions won't drive bitcoin prices higher, what will? One near-term catalyst would be the passing of a key piece of crypto legislation called the Clarity Act, which aims to create a regulatory framework for the industry. However, conflicting interests between banks and major crypto companies last week stalled the bill.

A bipartisan agreement on a market structure bill broadly approved of by the crypto industry would lift crypto prices, Thorn said—but he sees a "slightly less" than 50% probability that that'll happen.

• President Trump's renewed calls for the U.S. to take control of Greenland have fired up a fresh round of investor concern about the effect trade and geopolitical affairs could have on their portfolios.
• One measure: The VIX, Wall Street's "Fear Gauge," climbed this morning above 20 for the first time since November, a move into a territory suggesting concern but shy of outright panic.

A period of relative calm in markets looks to have ended. What did it? It's an oversimplification, but Greenland is at its core.

President Donald Trump has stepped up his language—and actions—in pursuit of ownership of the North Atlantic land mass, injecting fresh uncertainty into both geopolitics and trade. Market measures of fear have moved higher, contributing to a substantial decline for major U.S. stock indexes Tuesday on the back of a downbeat finish to last week and ahead of a planned speech by Trump on Wednesday at the World Economic Forum in Davos, Switzerland.

The VIX, Wall Street's so-called fear gauge, is above 20 for the first time since November, a move into a territory suggesting concern though shy of panic. CNN's investor Fear & Greed Index is just on the bearish side of its midpoint, an essentially neutral level; a week ago it pointed toward greed. CoinMarketCap's crypto-specific Fear & Greed measure, meanwhile, has slipped to the low end of a neutral score.

Wall Street worries haven't reached panic levels, though several measures of sentiment have moved in that direction lately—and trading this week is off to a rocky start. In addition to earnings season and the future of the Fed, investors are now wondering about affairs involving the U.S. and Greenland—and, more broadly, how they might affect trade and geopolitics.

“There are people that are worried about what the president’s gonna say tomorrow, when he comes— vis-a-vis Greenland," Carlyle Group Co-Chairman David Rubenstein told CNBC today. "A lot of business people are saying 'Look, we’re happy to negotiate on Greenland, we’re happy to do many things,' but they’re not sure that’s the best policy.”

The latest action highlights other signals of caution from investors. A Deutsche Bank survey of investor positioning from late last week showed a move away from tech and toward cyclical assets. Google data today showed increased searches for information on widely held market exchange-traded funds such as SPY, which tracks the S&P 500, as well as on defensive assets like gold and silver, which are trading at record highs.

All told, some experts say, it's a lot for investors to take. Earnings season is picking up, and concerns about Federal Reserve independence had already picked up in recent weeks.  

"Items on the agenda this week tied to domestic and foreign policy and an increase in geopolitical risks remain as overhanging items of concern for market participants’ consideration," Oppenheimer analysts wrote Monday.

This item has been updated since it was first published to reflect the latest market data.

• Netflix reports earnings after the market closes today, with analysts expecting rising revenue and profits.
• Ahead of the results, the company announced an update to its offer for Warner Bros. Discovery to an all-cash deal rather than a mix of cash and stock.

Investors are about to get some fresh financial results from one of the streaming industry's biggest players.

Netflix (NFLX) is scheduled to report fourth-quarter earnings after the market closes today, with analysts expecting growing revenue and profits. The streaming giant's revenue is projected to come in at $11.97 billion for the quarter, up 17% year-over-year. Earnings per share are expected to rise to $0.55 from $0.43 a year ago, per estimates compiled by Visible Alpha.

Ahead of the release, Netflix announced an agreement to convert its deal to acquire Warner Bros. Discovery (WBD) to an all-cash offer rather than a mix of cash and stock. Netflix said that the new deal, which could help fend off rival bidder Paramount Skydance (PSKY), "provides enhanced certainty around the value WBD stockholders will receive at closing," and that Warner Bros. Discovery shareholders are expected to vote on the deal as soon as April.

Quarterly earnings calls offer an opportunity for investors and analysts to get a look into the financial health of a company. Netflix's call comes at an important time, with analysts likely to ask questions about the financing of the Warner Bros. Discovery deal and its timelines for regulatory reviews.

Options pricing suggests that traders expect Netflix stock could make a big swing in the days following the report. Shares are down some 30% since Netflix's last quarterly report in October, when a surprise tax expense in Brazil dragged profits below estimates, and have been pressured since amid questions surrounding the Warner Bros. acquisition.

Analysts have said the report is likely to reflect a solid end to 2025, but that investor attention could be focused more on concerns about the Warner Bros. deal, including regulatory uncertainty and competition from Paramount Skydance.

Netflix shares were little changed in recent trading, at a time when broader markets lost ground as investors reacted to President Donald Trump's threats of new tariffs against European countries unless the U.S. is allowed to acquire Greenland.

• Gold and silver prices soared Tuesday after President Trump threatened over the weekend to impose tariffs on European countries resisting his efforts to take control of Greenland.
• Treasury yields jumped and the U.S. dollar fell in a possible sign the president's latest threats breathed fresh life into the "Sell America" trade.

Financial markets were on edge Tuesday after President Donald Trump ratcheted up his efforts to force Denmark to cede Greenland to the U.S. 

President Trump on Saturday morning threatened to impose a 10% tariff on select European countries starting February 1 if they did not agree to give the U.S. control of the semiautonomous Danish territory. The tariffs would increase to 25% on June 1, and stay in place “until such time as a Deal is reached for the Complete and Total purchase of Greenland,” Trump said in a Truth Social post.

The president's newest tariff threats sent safe haven assets sharply higher on Tuesday. Gold futures jumped to an all-time high of $4,755 a troy ounce, bringing the precious metal’s one-year return to nearly 75%. Gold prices have risen 9% since the start of the year, compared with the benchmark S&P 500 stock index, which saw its small year-to-date gains erased on Tuesday morning. Silver prices also soared to an all-time high on Tuesday, adding to big gains this year and putting the metal's 12-month return at 200%.

Experts worry President Trump's actions are undermining global confidence in the U.S. dollar and Treasurys, two pillars of the global financial system. They fear the "Sell America" trade, which refers to international investors dumping U.S. assets, could chip away at the benefits America enjoys from the global importance of its currency and sovereign debt.

The major stock indexes were down across the board as investors fled risk assets. The Dow Jones Industrial Average, S&P 500 and Nasdaq Composite were each down 1% or more around midday Monday. Of the S&P 500's 11 sectors, only one—energy—was trading in the green.

The Treasury and currency markets were showing signs Trump's latest threats have revived the “Sell America” trade that tanked the U.S. dollar and Treasurys last year. The yield on the 10-year Treasury, which influences interest rates on an array of consumer loans, soared above 4.3% for the first time since early September on Tuesday morning. (Yields move in the opposite direction of bond prices.) The U.S. dollar index, which tracks the value of the greenback relative to a basket of international currencies, was down nearly 1% at 98.5 in recent trading.

The dollar plummeted and Treasury yields skyrocketed on Trump's biggest tariff threats since last year, prompting some experts to worry international investors were abandoning U.S. assets, either in retaliation for Trump's "America First" posture or out of concern about the volatility of U.S. policy.

The Cboe Volatility Index (VIX), often called the Fear Index, jumped early Tuesday morning to trade as high as 20.69, its highest reading since late November. A VIX above 20 is a significant psychological marker on Wall Street, where readings below 20 suggest calm in financial markets and 30 indicates heightened uncertainty. 

The first year of President Trump’s second term has been punctuated by bouts of volatility. The VIX soared above 30 in early March when Trump unilaterally imposed tariffs on Canada, China, and Mexico in connection to their alleged ties to fentanyl trafficking. The index closed above 40 for the first time since 2020 a month later when Trump announced his sweeping “reciprocal tariffs.” Additional tariff threats, geopolitical developments, and concerns about an AI bubble contributed to more muted jumps throughout the rest of 2025. 

“There is a limit to how many things you can put on the table without eventually one day one of them going out of control,” Sergio Ermotti, CEO of UBS, told CNBC in an interview at the World Economic Forum in Davos, Switzerland. The volume of news, he said “is starting to weigh on customer sentiment,” compelling some investors to focus on diversifying their portfolios. 

• President Donald Trump has pledged to roll out housing policies that will lower housing costs.
• Some of the proposals are aimed at increasing demand for housing, which may not help much with affordability.
• Proposals that help increase supply are more likely to help spur lower costs in the housing market, experts said.

Seeking to lower borrowing costs, create more housing supply and make it easier for homebuyers to enter the market, President Donald Trump is expected to soon announce a series of housing reforms. It's not clear that his plans will bring affordability back to the housing market.

Economists and housing market officials say a lot depends on whether his policies can get more workers building more houses.

“The bottom line is we have to create more housing,” said Ed Brady, CEO of the Home Builders Institute (HBI).

Trump, federal officials and members of Congress are all proposing new policies they say could help alleviate housing affordability problems. However, many of the ideas put forward so far would create conditions where more people would want to enter the housing market, thus increasing demand, which could potentially push housing prices higher.

Affordable housing is critical to the U.S. economy because housing costs drive both inflation and household wealth. Expanding home construction would stimulate job creation, support materials industries, boost labor mobility, consumer spending and ultimately household wealth.

One such proposal was Trump’s effort to lower mortgage rates by instructing government-backed mortgage giants Fannie Mae and Freddie Mac to buy $200 billion in mortgage bonds. The move has so far been effective at driving mortgage rates slightly lower, wrote Goldman Sachs analyst Arun Manohar.

But falling mortgage rates may not help to lower housing prices, said Norbert Michel, vice president and director of the Center for Monetary and Financial Alternatives at the Cato Institute. “The more of those bonds that you buy, to the extent that it makes it easier to get a mortgage, that's an increase in demand,” Michel said. “That's not making anything more affordable.”

Trump also floated the idea of banning large institutional investors from buying single-family homes to increase supply and reduce competition. But Goldman's Manohar notes that institutional investors own less than 0.5% of total housing stock and around 2-3% of rental housing stock, which means such a policy may not have much of an effect.

Supply is often cited as the issue driving the affordability crisis in housing. While Trump and Congress are working on solutions to housing affordability, experts said some ideas haven’t adequately addressed the need to increase the housing supply.

Studies on how much more supply the U.S. needs vary, with Goldman Sachs recently estimating that the housing market is short between 3 million and 4 million homes. And there are a range of ideas on how to get builders to construct more housing. 

One way to increase housing supply is to make it cheaper to build houses. Brady said higher costs associated with labor, supplies and regulations are raising construction costs. 

Regulations account for nearly 25% of the cost of a single home, according to a National Association of Home Builders (NAHB) study. While Brady noted that the federal government has already begun loosening some rules, many building regulations are at the state and local levels, giving Washington limited ability to cut some costs. 

“Generally, you want to ease permitting and zoning restrictions so that it's easier and less costly to build,” Michel said. “But that's not a federal policy, you know, it just isn't.”

Brady noted that although the government can’t direct local governments to streamline their processes, it could incentivize them by promising additional grants for states and municipalities that make rule changes, or potentially withholding funding for those that do not.

Similarly, Brady said that homebuilders currently don’t have enough workers to build the homes that the U.S. needs, an issue that’s been impacted by recent immigration enforcement actions.

A June study by the HBI and NAHB found that the labor shortage had a more than $10 billion impact on the housing market, preventing the construction of 19,000 homes annually.

“If we had the labor, we create more inventory and we create more housing,” Brady said. 

There are other changes the government could make that could impact housing policy. One would be to treat manufactured homes the same as standard housing.

“Fannie and Freddie should treat factory-built homes like site-built homes by providing owners with traditional mortgage-like financing,” wrote the Center for American Progress.

The federal government could also improve supply by lowering capital gains taxes, as Brady said that some owners may be reluctant to sell because they would have to pay taxes on their gains.

“Somebody that's got a million dollar asset, that doesn't want to pay capital gains, so they're not selling. Get rid of that capital gains tax. Let them put it on the market. And that will help provide supply,” Brady said. 

There’s also housing legislation moving through Congress. The ROAD to Housing Act in the Senate and the 21st Century Act in the House of Representatives seek to address both housing supply and demand issues through a series of policies designed to encourage local governments to approve housing projects. The bills are also supported by major housing industry groups.

Brady called the legislative packages a step towards updating and modernizing federal housing law. But Michel doubted whether the bipartisan legislative packages would fundamentally improve supply.

“I don't think that there would be a large supply effect," Michel said. "I really don't, and I do think that there would be maybe some negative demand side effects.”

• Event contracts are viewed as information, but also assets, making it all the more difficult to figure out which rules do and don't apply to them.
• Prediction markets are regulated by the Commodity Futures Trading Commission, whose "Eddie Murphy rule" is aimed at preventing misappropriation of confidential information for unfair gain. But a busy run of regulatory debate seems likely.

Someone profited handsomely after winning an unlikely short-term bet on Nicolás Maduro's fate. The win kicked off a round of intense scrutiny of prediction markets.

How, the questions went, could they have known what would happen in Venezuela with such confidence? If they did know, did that amount to market manipulation? And if it did, how many more winners were trading on confidential information for their own gain?

That paranoia—or, more charitably, the curiosity—appears to be percolating. On social media, skeptics routinely peruse wagers and wonder aloud whether they might constitute something like "insider trading," a term generally used for the illegal practice of buying or selling securities using privileged information. Legislators have also expressed interest in learning more.

So is something amiss on prediction markets, one of the fastest-growing segments of trader enthusiasm and activity? If it is, what should be done? The short answer: It's complicated.

Prediction markets are becoming more mainstream, with their data starting to show up on major news networks including CNN.

The question of who should regulate prediction markets—and how it would be best done—remains unsettled in the U.S., with lobbying activity and legal battles still picking up. Within the range of opinions is even a theory that insider activity might shore up trust and accuracy, contrasting conventional market wisdom that integrity should be protected. Social media users are far from unanimous, with some calling prediction markets "a cesspool of insider trading" and others saying "Calling insider trading a 'problem' in prediction markets misses the point."

Though the specific Maduro bet mentioned above was placed on Polymarket's offshore venue—and thus perhaps beyond the reach of U.S. regulation—some have openly questioned its legitimacy. A dozen senators earlier this month sent a letter to the Commodity Futures Trading Commission's chair Mike Selig asking about wagers associated with the event as brought to light by The Wall Street Journal and wondering what the agency was doing to make sure prediction markets were following the rules.

CEOs of prediction markets say they're not running amok. Tarek Mansour, co-founder and chief of Kalshi, wrote in a social media post after Maduro's ouster that "Insider trading is banned on Kalshi (and always has been)."

The CFTC is the primary regulator of prediction markets, including Kalshi and Polymarket, because event contracts are categorized as financial derivatives. (In the context of traditional "insider trading," the "Eddie Murphy rule" aimed at preventing the misappropriation of confidential information for unfair gain—named for the actor in the movie Trading Places—would apply.)

But policing a new market is hard when existing rules weren't designed with it in mind, and the array of contracts tied to everything from geopolitical events to sports and award ceremonies makes matters even more complex.

The CFTC can shut down contract categories—terrorism, war and gaming—that it deems "contrary to the public interest," according to Andrew Kim, a partner at law firm Goodwin Procter. But there is a debate around what "gaming," in particular, means, Kim told Investopedia.

The CFTC during the Biden administration forced Polymarket offshore in 2022. In 2024 it proposed a rule that aimed to define what "gaming" meant as it pertains to event contracts. That proposal hasn't gone anywhere.

Under the current Trump administration, Polymarket has relaunched in the U.S. It, along with other prediction markets, have in the past year or so begun offering sports-related event contracts. That's when state gambling regulators got involved, arguing in courts that contracts tied to sports games are unlicensed wagers and thus that prediction markets should be under their authority.

Prediction markets say their contracts are federally regulated, an issue that the Supreme Court may ultimately settle. Selig, meanwhile, recently launched a committee to "gather expertise and recommendations on innovation in financial markets;" his planned nominations include Polymarket chief Shayne Coplan, Mansour, and leaders of derivatives and crypto exchanges.

Prediction market operators appear to be trying to get ahead of the next round of rulemaking. Crypto.com, Coinbase (COIN), Kalshi and Robinhood (HOOD) last month formed the Coalition for Prediction Markets to establish "guardrails that prevent insider trading and ensure all participants operate on equal footing" and "defend against state-level overreach."

Then there's the debate about whether insider action on prediction markets might be good. If the masses look to prediction markets for information—odds on some contracts are already visible on CNN—insider bets, the argument goes, might bolster their accuracy.

Coinbase Global (COIN) chief Brian Armstrong said last month that deciding whether insider trading should be allowed in prediction markets depends on what use they serve: If prediction markets are meant to be a type of oracle, "you want insider trading" for the "higher quality signal, but if the goal was to "preserve the integrity of those markets," it shouldn't exist. Coinbase last month announced its own predictions market.

"Part of the growing pains of this industry is going to be figuring out issues like 'insider trading"'and striking a balance—providing the signaling function that they were intended to do, while also ensuring that customers are protected from market manipulation and abuse," Kim said.

• Big tech stocks led a broad market sell-off Tuesday amid rising geopolitical concerns.
• President Donald Trump over the weekend threatened new tariffs on a number of European countries unless the U.S. is allowed to acquire Greenland.

The Magnificent Seven aren't looking so magnificent to start the week.

All seven of the tech giants—Nvidia (NVDA), Apple (AAPL), Alphabet (GOOGL), Amazon (AMZN), Meta Platforms (META), Microsoft (MSFT), and Tesla (TSLA)—saw their stocks slide to start the holiday-shortened trading week as rising geopolitical concerns fueled a broad market sell-off, with the shares down 1% to 2% each.

Stocks fell in early trading Tuesday after President Donald Trump over the weekend threatened higher tariffs on a number of European countries unless the U.S. is allowed to acquire Greenland.

"Starting on February 1st, 2026, all of the above mentioned Countries (Denmark, Norway, Sweden, France, Germany, The United Kingdom, The Netherlands, and Finland), will be charged a 10% Tariff on any and all goods sent to the United States of America. On June 1st, 2026, the Tariff will be increased to 25%. This Tariff will be due and payable until such time as a Deal is reached for the Complete and Total purchase of Greenland," Trump said in a Saturday morning social media post.

Other tech and AI darlings, including Broadcom (AVGO), Advanced Micro Devices (AMD), Oracle (ORCL), and Palantir (PLTR), also lost ground following the comments, weighing on the major indexes. Meanwhile, gold and silver prices surged to new highs as investors turned to safe-haven assets.

Tuesday's tech stock losses underscore how investors may flee riskier assets in favor of traditional safe havens such as gold amid heightened market volatility, as worries about geopolitical tensions weigh on sentiment.

Wedbush analysts led by Dan Ives said they would view the sell-off as an opportunity to buy, telling clients Tuesday they expect tariff threats and tension over Greenland to "calm down" as negotiations take place at the World Economic Forum in Davos, Switzerland this week.

"Tech stocks will be hit as the 'risk off dynamic' hits AI names front and center but ultimately we view this as an opportunity to own the tech winners for 2026 and beyond," they wrote.

UBS analysts said they expect the recent volatility to "follow the same pattern that we have seen over the past year—from 'Liberation Day' tariff announcements to deals that involved investment commitments in the US. With the Trump administration prepared to negotiate and de-escalate, our view is that tensions over Greenland are not a reason to change our overall positive view toward global equities."

Stock futures are sinking Tuesday morning amid rising geopolitical concerns; President Donald Trump has threatened new tariffs on a number of European countries unless the U.S. is allowed to acquire Greenland; gold and silver prices are surging to new record highs as investors turn to safe-haven assets; tech stocks are under pressure amid the volatiity; and Netflix's latest quarterly results are due after the closing bell as the company sweetens its offer for Warner Bros. Discovery. Here's what you need to know today.

Stocks are tumbling after President Trump over the weekend threatened new tariffs on several European countries if the U.S. isn't allowed to acquire Greenland. Futures tied to the Dow Jones Industrial Average, S&P 500, and tech-heavy Nasdaq were recently down 1.2%, 1.4%, and 1.7%, respectively. The major indexes posted modest losses last week amid concerns that Federal Reserve independence could be compromised. Gold futures were up 3% at $4,730 an ounce recently, a new all-time high, while silver futures surged nearly 8% to $95.30 an ounce, also a record, as investors turned to safe havens. The yield on the 10-year Treasury was at 4.29%, up from its previous close of 4.23% and at its highest level since early September. Bitcoin was just above $91,000, down from a weekend high of above $95,000 and on track to decline for a sixth straight day as its early-year rally stalls.

Financial markets are volatile this morning after President Trump said that Denmark, Norway, Sweden, France, Germany, the United Kingdom, the Netherlands and Finland will each face a 10% tariff at the start of February that will increase to 25% on June 1 if the U.S. is not allowed to purchase Greenland. The Trump administration in recent weeks has stepped up its interest in acquiring Greenland, saying it aims to do so with money or with military force. Early Tuesday, Trump posted fake images of himself, Secretary of State Marco Rubio and Vice President J.D. Vance putting an American flag in the ground next to a sign calling Greenland U.S. territory, along with a photoshopped map showing Canada with an American flag on it.

Gold is leading another safe-haven-asset rally, hitting a record of nearly $4,740 an ounce earlier this morning. Silver is also adding to its gains to start the year, setting its own record high just above $95 an ounce. Gold and other precious metals typically increase in value when investors are uncertain of the economy or the state of geopolitics and therefore less likely to invest in more-volatile assets such as stocks or cryptocurrency. The precious metals have already been gaining steadily this year amid concerns over the independence of the Federal Reserve. Gold futures have risen 70% over the past 12 months, while silver has surged about 200%.

All seven of the Magnificent Seven stocks are losing ground this morning amid the larger market sell-off that is hitting tech stocks particularly hard. Nvidia (NVDA), Apple (AAPL), Alphabet (GOOGL), Microsoft (MSFT), Tesla (TSLA), Amazon (AMZN), and Meta Platforms (META) are all down between 1% and 3% in premarket trading. Chipmaker stocks including Advanced Micro Devices (AMD) and Broadcom (AVGO) are also down sharply. Tech stocks have powered much of the market's growth in recent years amid the AI boom, making the stocks also vulnerable to being hit hard when there is a broad sell-off like the one happening today.

Netflix (NFLX) stock has resisted the sell-off so far this morning, as investors await the streaming giant's latest quarterly earnings report after the closing bell and digest news that the company is now offering all cash to acquire Warner Bros. Discovery (WBD). Netflix executives will likely face questions from analysts during the earnings call about the pending acquisition, on topics including regulatory hurdles, competition from Paramount Skydance (PSKY), how the deal will be financed, and the timeline for when the deal could be completed. Netflix is expected to report that revenue rose 17% in the fourth quarter from a year earlier, while earnings per share are projected 30% higher, according to estimates compiled by Visible Alpha. Netflix shares were up about 1% ahead of Monday's opening bell.