U.S. Stock Markets Stage Sharp Recovery as Trump Rules Out Military Action to Acquire Greenland
U.S. stocks rebounded on Wednesday as President Trump ruled out military action over Greenland. The recovery ended the steepest market selloff in three months.
Insights:
U.S. stock markets staged a sharp recovery on Wednesday, January 21, 2026, as investors reacted to cooling geopolitical tensions. The Dow Jones Industrial Average rose 440.45 points, or 0.91%, to close at 48,929.04, while the S&P 500 gained 67.95 points, or 1.00%, to reach 6,864.81. The Nasdaq Composite also saw significant gains, rising 266.11 points, or 1.16%, to finish the session at 23,220.43. This turnaround followed the steepest selloff in three months on Tuesday, during which all three major indexes sank nearly 2% amid fears of global instability following presidential warnings regarding tariffs on European allies.
