Stock markets are down due to tensions between the US and Europe

BarcelonaThe escalating tension between the US and Europe over Greenland is weighing on stock markets. Equity markets across Europe are registering declines of more than 1% at the start of this week, following Donald Trump's announcement of additional tariffs on countries that send troops to Greenland and the potential response from the European Union (EU).

In this context, just as The World Economic Forum begins In Davos, Switzerland, where the world's economic elite, including US President Donald Trump, gather, gold has once again capitalized on its safe-haven status, reaching a new all-time high of $4,690 per ounce. Silver has also traded at unprecedented levels, slightly above $94 per ounce. Meanwhile, the dollar is falling due to the potential outbreak of a trade war.

Analysts fear a significant market correction, both as a result of geopolitical tensions and the resurgence of a potential trade war. The Ibex, Spain's main stock market index, is down around 1%, with virtually no stocks in positive territory and widespread losses. The Eurostoxx 50, which tracks leading European stocks, is down more than 1%. The declines began in Asian markets. In addition to Greenland, other variables are capturing investors' attention, such as China's gross domestic product (GDP) growth, which rose 4.5% in the October-December period. For the year as a whole, the increase was 5%, in line with the Chinese government's target.