Traders work at the New York Stock Exchange on January 16, 2026 in New York.
new york stock exchange
Technology stocks led the decline in U.S. stocks on Tuesday as investors reacted to escalating tariff rhetoric related to President Donald Trump’s new push for Greenland.
of State Street Technology Select Sector SPDR ETF (XLK) It fell by 1%. Nvidia and tesla Both fell by nearly 3%, but meta platform, alphabet, apple, microsoft and Amazon All lost more than 1%.
These developments are putting pressure on the overall market. of Nasdaq Composite The stock was down 1.3% in recent trading, lagging historical trading. S&P500 and Dow Jones Industrial Average They decreased by 1.1% and 0.9%, respectively.
Markets were shaken when President Trump said in a post on Truth Social that the tax could start at 10% in February and rise to 25% by June, threatening to impose new tariffs on countries that oppose the sale of Greenland to the United States. The president also imposed steep tariffs on French goods and criticized European allies, raising concerns about growing trade between the United States and the European Union.
The flare-up in trade tensions comes as world leaders gather for the World Economic Forum in Davos, Switzerland, this week, with investors closely watching for signs that negotiations may ease tensions. But Wedbush analyst Dan Ives isn’t too worried.
“Tech stocks will be hurt as the ‘risk-off movement’ hits mainly AI companies, but ultimately we see this as an opportunity to capture tech winners in 2026 and beyond,” Ives said. “The battle between Trump and the EU will give investors new opportunities to snap up technology winners, even though the bears are always trying to scream fire in packed theaters.…The AI revolution is still in its early stages of unfolding, and this week’s melodrama will not change the dynamics in our view as the Fourth Industrial Revolution reaches its next growth phase in 2026.”
Ives added that the catalyst ahead could be a “robust” fourth-quarter earnings season that tech industry heavyweights are expecting in the coming weeks, potentially leading to about $550 billion in capital spending for the next stage of the AI revolution.
He listed the following stocks: Nvidia, microsoft, Palantir, cloud strike, Nevius, apple, palo alto, google and tesla As a name he would buy in the current market downturn.
