finance Jan 22, 2026

South Korea's Kospi hits record as Asia markets rebound after Trump walks back on Europe tariff threats

C

CNBC Finance

2 min read
Key Points
  • Asia-Pacific markets are set to rebound after U.S. President Donald Trump walked back on his threats to impose tariffs on European countries over Greenland.
  • Japan saw its December trade figures released today, with the 5.1% export growth missing expectations from Reuters.
A Greenlandic flag flies over a residential house on Jan. 21, 2026 in Nuuk, Greenland.
Sean Gallup | Getty Images

Asia-Pacific markets were rebounded on Thursday, tracking gains on Wall Street after U.S. President Donald Trump walked back on his threats to impose tariffs on European countries over Greenland.

Trump also said at the World Economic Forum in Davos that he would not use force to acquire the Arctic island, calming nerves over a possible U.S. military action.

The U.S. President also said he had "formed the framework of a future deal with respect to Greenland," along with NATO Secretary General Mark Rutte.

Asian markets are already showing signs of that rebound. South Korea's Kospi led gains in the region and breached the 5,000 mark, rising over 2% and the small-cap Kosdaq added 1.29%.

Japan's Nikkei 225 was up 1.22%, while the broad based Topix rose 1.03%. Japan saw its December trade figures released today, with the 5.1% export growth missing Reuters-polled analysts' estimates.

Australia's S&P/ASX 200 was up 0.78% in early trade, having dropped about 0.4% in the previous session.

Hong Kong Hang Seng index futures were at 26,616, higher than the HSI's last close of 26,585.06.

Overnight in the U.S., the Dow Jones Industrial Average surged 1.21%, the S&P 500 gained 1.16%, while the Nasdaq Composite advanced 1.18%.

—CNBC's Sean Conlon, Pia Singh and Chloe Taylor contributed to this report.

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