In a post on the social media platform Truth Social, Trump said that he won’t be “imposing the Tariffs that were scheduled to go into effect on February 1st” on European countries that trade with Greenland.
Soon after the announcement, U.S. chip stocks, including AMD, ARM Holdings, Western Digital, and Micron Technology, gained more than 6%, while Intel rallied almost 12%. Tech stocks surged and gained traction after Trump announced that he wouldn’t consider using military force in Greenland, easing geopolitical tensions in the region.
On January 21, tech stocks declined as investors sold off their holdings in response to Trump’s new tariffs on eight countries, including Germany, France, Denmark, the UK, Sweden, the Netherlands, Norway and Finland, which opposed the US acquisition of Greenland
The tech-heavy Nasdaq had fallen by 2.4%, with Amazon losing 2.9% of its value, while Tesla and NVIDIA, the world’s first company to hit a $5 trillion valuation, fell by 3%, wiping out billions of dollars from their market values.
Greenland, which has a vast reserve of rare earth minerals and metals, has been in the spotlight after Donald Trump said earlier this month that the US needs Greenland “from the standpoint of national security” and “economic security”.
In the last couple of weeks, companies working in Greenland, like Amaroq, Critical Metals Corp. and others to extract rare earth metals and minerals have seen renewed interest. Some tech leaders like Jeff Bezos, Bill Gates and Sam Altman have also invested in KoBold Metals, a mining firm that looks for valuable rare earth minerals used in electronic devices.
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US tech stocks recorded a significant jump after Trump ruled out the use of force in Greenland. (Representational/Pixabay) 
