- US is the premier destination for global capital
- US trade deficit is narrowing with an unprecedented pace
- Free trade should be fair trade, rebalancing must continue
- Frustrated with the Fed for refusing to do an internal investigation
- Asking European allies to understand that Greenland needs to be part of the US
- “Why don’t European countries sit down and wait for president Trump to address them”
His comments cover a range of topics here but as we know, it’s from the perspective of a Trump loyalist. The headline remark should be one directed in response to the Danish pension fund selling off roughly $100 million in Treasuries. It is one that the fund itself claims to be not related to the Greenland situation and more so because of “poor US government finances”.
It’s a bit of a warning signal perhaps. $100 million is a drop in the bucket for a fund that holds a total of $25.7 billion in assets. So for now, it isn’t going to be that impactful on market sentiment.
In any case, there are many reasons for countries to diversify their current financial positions. And to be fair, it’s not just isolated to it being a step away from US assets alone. The de-dollarisation and currency debasement push is what is keeping precious metals the preferred choice for investors right now.
In any case, Trump will be about three hours late to Davos today after an issue with Air Force One earlier. That forced the US president to switch planes to make the trip, where he is expected to deliver his special address at 1330 GMT later today. So, definitely be on the lookout for that one.
But in the coming two days, any meetings with European leaders and his usual Truth Social posts will be pivotal in trying to get a feel of the whole Greenland situation
