Trade War Tensions Ease as U.S President Confirms Negotiation Talks in Davos

Trade war tensions between the United States and the European Union could be seeing some headway amid recent developments. The US President confirmed that negotiations on his Trump tariffs would take place at the upcoming Davos meeting.

Trump Tariffs Talks Set for Davos Summit

According to Bloomberg, President Donald Trump said he would meet with parties of interest in the ongoing conversation about taking control of Greenland at the World Economic Forum.

The President shared on Truth Social that he had a very “good phone call” with the Secretary General of NATO, Mark Rutte, on the matter.

Rutte also took to his social media page to confirm that he had spoken with the President about Greenland’s security. He also confirmed they would continue conversations at Davos, aiming to resolve the Trump tariff tensions.

The negotiation talks came just after Trump announced his intentions to control Greenland. He then implemented a 10% tariff on countries that opposed the plan of his takeover.

This led to a backlash from the European Union. EU leaders agreed on late Sunday to stop the US President from imposing tariffs on the concerned countries. They would have an emergency summit on Thursday to further discuss protective measures for their countries.

Meanwhile, the President is scheduled to deliver an address on Wednesday on developments amid the Trump tariffs.  He maintains there would not be much retaliation from the EU.

What Could this Mean for Markets?

Global markets saw a shake-up when the tariffs were announced. The crypto market especially saw its momentum dampened. As CoinGape reported, the Bitcoin price fell as low as $91,ooo with liquidation crossing over $850 million.

The stock market traders are also bracing for declines as trading resumes after the Martin Luther King holiday. Investors are now repositioning their investments in the event of further Trump tariff escalations.

However, if negotiations go well, parity could return to the market. Trump claims that the United States currently has the hottest economy and could play a huge role in reaching an agreement.