US stocks turned higher on Wednesday in the wake of the steepest selloff in months as Wall Street took in President Trump's speech at Davos for insight into the Greenland crisis.

The Dow Jones Industrial Average (^DJI), the tech-heavy Nasdaq Composite (^IXIC), and the S&P 500 (^GSPC) each added over 1%, coming off a bruising Tuesday session that saw investors rush for the exits against a backdrop of global insecurity.

Stocks have flip-flopped as Trump has appeared to strike a less aggressive tone on Greenland. During a keynote address at the World Economic Forum in Davos, Switzerland, the US president called for "immediate negotiations" to acquire the Danish territory, saying only the US could ensure its security. But he also suggested he wouldn't use force to gain control of the island.

"We probably won’t get anything unless I decide to use excessive strength and force where we would be, frankly, unstoppable," Trump said at Davos. "But I won’t do that."

Nonetheless, Trump has appeared confident he would prevail in his pursuit of Greenland. That has kept trade-war fears and the "Sell America" trade alive, as the EU warned again it was "fully prepared" to hit back against new tariffs. The dollar strengthened against the euro Wednesday morning.

Also up ahead, the Supreme Court is hearing arguments on Wednesday over the Trump administration's removal of Lisa Cook as a Federal Reserve governor. The case will test the central bank's independence and the limits on presidential power to fire Fed board members at will. Concerns about political interference in Fed policy making have haunted markets, as Jerome Powell faces a criminal probe and Bessent publicly builds a case against the Fed chair.

On the corporate front, Netflix (NFLX) stock fell after the streaming giant's quarterly results showed left investors unimpressed. As the season gets underway, S&P 500 companies' earnings beats are being met by the worst share-price reactions on record, Bloomberg data shows. Wednesday brings a busy stretch of results, including reports from Johnson & Johnson (JNJ), Charles Schwab (SCHW), and other mid-sized financial institutions.

Yahoo Finance's David Hollerith reports:

JPMorgan Chase (JPM) CEO Jamie Dimon trod carefully on his views of the Trump administration during a Wednesday interview at the World Economic Forum in Davos, Switzerland, but capped his fireside chat by leaning into a prior barb lobbed at the executive by President Trump, declaring: \\"I'm a globalist.\\"

\\"I want a stronger NATO, a strong Europe. Some of the things Trump has done are causing that. Some are not. I'm not a tariff guy,\\" Dimon said, adding: \\"I think they should change their approach to immigration.\\"

Dimon's comments came just hours before Trump's own appearance in Davos, and follow a social media post from Trump over the weekend that said he would sue JPMorgan Chase for \\"inappropriately debanking\\" him.

Read more here.

Intel (INTC) shares rose 10.5% Wednesday to reach their highest level since 2022 as Wall Street analysts' optimism over the chipmaker's recent resurgence grew ahead of its quarterly earnings report Thursday.

Bernstein analyst Stacy Rasgon raised his price target on shares slightly to $36 from $35 Wednesday, noting \\"positive market dynamics\\" in the data center server space but noting that its manufacturing business as \\"quite a ways to go.\\"

Rasgon's bumped-up outlook comes a day after Intel stock got two upgrades from HSBC analyst Frank Lee and Seaport's Jay Goldberg.

Lee changed his rating to Hold from Reduce, citing greater demand for CPUs — central processing units, or more traditional computing chips made by Intel that are used alongside AI chips — from data centers due to agentic AI. Meanwhile, Goldberg upgraded shares to Buy from Neutral, pointing to \\"strong signals\\" for Intel's PC chips and an \\"improving outlook\\" for its manufacturing business.

Yahoo Finance's Dan Howley reports:

Nvidia (NVDA) CEO Jensen Huang took the stage at the annual World Economic Forum in Davos, Switzerland, on Wednesday for a conversation with BlackRock CEO Larry Fink to discuss the impact of artificial intelligence and its implications on everything from the labor market to the need for Europe to invest in its energy supply to power AI systems in the future.

According to Huang, the AI explosion has jump-started the “largest infrastructure buildout in history.” And despite the hundreds of billions of dollars companies have already spent on the technology, there’s still much more spending to do.

“There are trillions of dollars of infrastructure that needs to be built out,” Huang told Fink.

Read more about Huang's commentary in Davos at the link.

Speaking at the World Economic Forum's Davos summit on Wednesday, President Trump doubled down on his push to bring down credit card interest rates.

\\"I'm asking Congress to cap credit card interest rates at 10% for one year, and this will help millions of Americans save for a home,\\" Trump said in his speech.

American credit card issuers currently charge interest rates of \\"28%, 30%, 31%, 32%,\\" Trump said, forcing citizens to \\"[lose] their house\\" after getting a \\"little late on their payment.\\"

Trump claimed that the profit margin for credit card companies \\"now exceeds 50%.\\"

Speaking at the Davos summit earlier in the week, JPMorgan Chase CEO (JPM) Jamie Dimon said a 10% interest rate cap would cause \\"economic disaster\\" in the US and force banks to cancel credit lines for a large swath of Americans.

The credit card interest rate cap is part of a larger push by Trump for housing affordability. During his comments at Davos, Trump called out his executive order banning \\"large institutional investors\\" from buying single-family homes.

\\"America will not become a nation of renters, we're not going to do that,\\" Trump said. \\"It's just not fair to the public.\\"

US stocks rose at the market open on Wednesday as President Trump eased his tone on Greenland in a speech at the World Economic Forum in Davos.

The Dow Jones Industrial Average (^DJI) climbed 0.4%, while the tech-heavy Nasdaq Composite(^IXIC) rose 0.3%. The S&P 500 (^GSPC) also added 0.4%, coming off a bruising Tuesday session that saw investors rush for the exits against a backdrop of boiling geopolitical tensions.

Trump's administration is seeking to take over the strategically located, mineral-rich Arctic territory of Denmark, risking its alliance with European nations and putting markets on edge.

Stock futures rebounded after President Trump reiterated his demand for the US to take possession of Greenland but said he wouldn't use force to acquire the Arctic territory.

“We probably won't get anything unless I decide to use excessive strength and force, where we would be, frankly, unstoppable, but I won't do that,” Trump told the World Economic Forum in Davos, Switzerland.

Trump said he's seeking \\"immediate negotiations\\" to discuss the US taking full ownership of Greenland, which he described as a \\"very small ask.\\" Trump did not repeat his Greenland-related tariff threats that upended markets on Tuesday.

Dow, Nasdaq, and S&P 500 futures turned positive after all three indexes were lower earlier in the morning.

Watch Trump's address in Davos live.

Kraft Heinz (KHC) may be the target of the first major move by Warren Buffett's successor, Greg Abel.

On Tuesday, Kraft Heinz said that Berkshire Hathaway (BRK-B, BRK-A) may begin selling its 325 million shares in the food company, according to a regulatory filing. Kraft Heinz stock dropped more than 6% on Wednesday morning.

In 2015, Buffett and 3G Capital formed Kraft Heinz by merging the two food brands. But Berkshire hasn't been quite as happy with the direction the company has taken as of late.

According to the AP, Berkshire took a $3.76 billion writedown on its Kraft-Heinz stake last summer, and Buffett said last fall that he was disappointed in Kraft Heinz's plan to split the company in two.

On Jan. 1, Buffett stepped down from the conglomerate he founded, and Abel took over the running of Berkshire Hathaway.

Read more here.

Netflix stock (NFLX) tumbled more than 5% in premarket trading on Wednesday after the streaming giant beat quarterly earnings estimates but said it would ramp up spending on content and pause its stock buyback program.

Hanging over Netflix's fourth quarter report was the company's acquisition of Warner Bros. Discovery (WBD), which has faced bitter competition from Paramount Skydance (PSKY). On Tuesday, Netflix sweetened its deal by offering to buy the company in all cash.

While the deal is likely to face regulatory scruiNetflix co-CEO Ted Sarandos sounded confident in the deal's approval, saying, \\"We've already made progress towards securing the necessary regulatory approvals.\\"

The streaming giant reported revenue of $12.05 billion, compared to Wall Street estimates for $11.96 billion, per Bloomberg consensus data.

Earnings per share came in slightly higher than expected at $0.56, versus the Street's forecast of $0.55.

Read the full earnings breakdown here.

Kraft Heinz (KHC) stock fell 5% before the bell on Wednesday after news was released that Berkshire Hathaway's new CEO, Greg Abel, may be considering selling its 325 million shares in the food giant.

United Airlines (UAL) stock rose 3% before the bell on Wednesday after reporting fourth quarter earnings that beat estimates.

Ardagh Metal Packaging stock rose 7% during premarket hours today. Analysts at BMO Capital upgraded the stock to Outperform.

Treasury yields continued to sell off on Wednesday morning, pushing yields higher as the Greenland turmoil unnerved markets. The 10-year yield (^TNX) rose 6 basis points to 4.29% in premarket trading, while the 30-year yield (^TYX) rose 8 basis points to 4.92%.

As Yahoo Finance's Hamza Shaban writes in today's Morning Brief Takeaway, the US's geopolitical fight over Greenland highlighted the sensitivity of the bond market:

Treasury yields rose to their highest levels in four months as some investors bought into the \\"sell America\\" trade, prompted by President Trump's latest round of saber-rattling. A sell-off in Japanese bonds added to the pressure.

... While not quite as dramatic as the sell-offs during the \\"Liberation Day\\" panic of last spring, the escalation of tensions between the US and EU nations has rekindled worries that were thought to be settled.

In both cases, the bond market served as an expression of fears over economic and trade policy. And if 2025 is any prelude to this year, it's also a market that may have a better chance of being heard than its stock-based equivalent — a reason to keep an eye on yields.

US bonds are considered a safe haven for investors, a place to ride out global shocks and shield money from the whims of the day. But similar to \\"Liberation Day,\\" the US government is the source behind the Greenland upheaval.

Read more here from the Morning Brief newsletter.

From Bloomberg:

S&P 500 (^GSPC) companies are handily beating earnings estimates, yet unimpressed investors are delivering the worst share-price reactions on record as the outlook for 2026 turns murky.

While it’s still early days, data compiled by Bloomberg Intelligence show about 81% of S&P 500 firms have beaten fourth-quarter profit expectations so far. However, their shares have trailed the benchmark by an average of 1.1 percentage points — the worst relative performance across data going back to 2017.

Among the stocks that underwhelmed, 3M Co.’s (MMM) shares fell 7% on Tuesday even as the company topped profit estimates, with investors focusing instead on a glum forecast. State Street Corp. (STT) dropped 6.1% as a dimmer net interest income outlook overshadowed better-than-expected quarterly results. Netflix Inc. (NFLX) also declined about 6% in premarket trading Wednesday after a disappointing outlook.

The trend emphasizes just how high the stakes are for corporate earnings this quarter as US stocks kicked off the year scaling record highs. That’s lifted valuations above long-term averages just as analysts have been cutting profit estimates ahead of the reporting season.

“Beating consensus isn’t the hurdle right now. The hurdle is raising the forward path enough to justify already rich valuations in a market that’s still sensitive to rates and policy uncertainty,” said Aneeka Gupta, macroeconomic research director at WisdomTree. “In that environment, a beat without strong guidance becomes a ‘sell-the-news’ event.”

Read more here.

Jensen has talked about this topic many times, but always good to hear his latest thinking.

He is seeing a \\"boom\\" in trade jobs, six figure salaries, helping to build out AI infrastructure.

\\"Everyone should be able to make a great living,\\" Huang said.

From Jensen's talk at Davos: He says he's seeing the \\"largest infrastructure build out in human history.\\" There are \\"trillions of dollars\\" of infrastructure that needs to be built out.

Jensen sporting a simpler leather jacket than the one he wore at CES. This is Jensen's first time at Davos for the World Economic Forum.

From Bloomberg:

“I doubt it,” Trump said at a White House press conference Tuesday when asked if moving forward with Greenland-related tariffs could trigger the EU to renege on investment pledges. “They need that agreement very badly with us. They really do, they fought very hard to get it. So I doubt that.”

Trump announced a 10% tariff on goods from eight European countries beginning Feb. 1, rising to 25% in June, unless he has a deal for the “purchase of Greenland,” a semi-autonomous territory of Denmark, a NATO ally and EU member.

Trump, asked how far he was willing to go to secure the island, told reporters: “you’ll find out.”

The president’s rare appearance in the White House briefing room came ahead of his departure Tuesday night from Washington for the World Economic Forum in Davos, Switzerland, where he will confront European leaders who are furious over his bid to take over the territory of a fellow NATO ally, Denmark.

“The European Union and the United States have agreed to a trade deal last July,” von der Leyen said. “In politics as in business, a deal is a deal. And when friends shake hands, it must mean something.”

The transatlantic rift over the US president’s ambitions has overshadowed the annual gathering of the world’s financial and political elite and has soured Washington’s ties with several key allies.

Trump broadly predicted that across “lots of meetings scheduled on Greenland” this week in Davos, “things are going to work out pretty well, actually.”

He downplayed criticism from European leaders including France’s Emmanuel Macron and the UK’s Keir Starmer, saying he expected a warmer reception in person.

Read more here.

Bloomberg reports:

Chinese stocks defied a pullback in global markets Wednesday, as optimism about Beijing’s stronger push to achieve technology self-reliance eclipsed concerns over rising geopolitical uncertainties.

The Nasdaq-style STAR 50 Index jumped 3.5% to the highest level since October. The broader onshore benchmark CSI 300 (000300.SS) ended the day slightly higher.

... Driving the outperformance of the world’s second-largest stock market was a fresh pledge by Chinese policymakers to accelerate efforts to develop homegrown artificial intelligence and aim for technological breakthroughs. Chinese markets have shown surprising resilience in the past year, with strong exports and policy support for advanced manufacturing and technologies cushioning the blow from tariff tensions.

Read more here.

Bloomberg reports:

Bitcoin (BTC-USD) slid to its lowest level in more than a week, tracking a sharp selloff across global financial markets as investors continued to de-risk amid ongoing geopolitical tensions.

The largest cryptocurrency fell below $90,000 for the first time since Jan. 9, moving in tandem with declines in equities, long-dated Treasuries and Japanese bonds as volatility rippled through debt markets. After falling as much as 4% on Tuesday, Bitcoin continued to slide Wednesday morning in Asia. It was down 0.5% to $88,894 as of 9:27 a.m. in Singapore.

Ninety-thousand has “proven to be a critical level that we’ve seen hold as support since the early days of the year and is likely an important inflection point in the short term,” said Karim Dandashy, an over-the-counter trader at crypto trading firm Flowdesk.

Read more here.

Bloomberg reports:

Gold (GC=F) rose to a record high — and silver was near an all-time peak — as the worsening crisis over Greenland and a meltdown in Japanese government debt supported haven demand.

US President Donald Trump, who is in Switzerland for the World Economic Forum at Davos, showed no signs of backing down on his intention to take the Arctic island. Greenlands’s prime minister told people to prepare for a possible military invasion, although he said it was an unlikely scenario. Spot gold touched $4,781.19 an ounce.

The US has threatened to put tariffs on eight European nations — including Germany, France and the UK — that have opposed his plan to take over Greenland, raising the specter of a damaging trade war. French President Emmanuel Macron attacked Trump’s trade policy, saying Europe needed to develop more sovereignty to avoid “vassalization and blood politics,” while Canadian Prime Minister Mark Carney said the rules-based international order was effectively dead.

Read more here.