Nasdaq 100 and S&P500: US Stock Index Futures Plunge on Greenland Tariff Crisis

Stock Index Futures Plunge on Trump’s Greenland Tariff Threats Against Europe

U.S. stock index futures are sharply lower early Monday after President Trump threatened to impose extra tariffs on goods imported from eight European nations opposing the U.S. purchase of Greenland. U.S. cash equity markets will be closed on Monday for Martin Luther King Jr. Day, but the selling pressure is hitting all three major stock index futures contracts hard.

The selling was swift and decisive on concerns about what a possible trade war between the U.S. and Europe could mean for U.S. growth and demand.

At 11:58 GMT, E-mini Dow Futures are trading 49107, down 440 or -0.89%. E-mini S&P 500 Index futures are at 6897.50, down 79.25 or -1.14% and E-mini Nasdaq-100 Index futures are trading 25286.00, down 403.00 or -1.57%.

Europe Prepares Retaliatory Measures as Trade War Fears Mount

According to CNBC, European states are reportedly considering retaliatory tariffs and broader punitive economic counter-measures against the U.S. French Finance Minister Roland Lescure said Monday that the EU “must be prepared” to use its anti-coercion mechanism, in comments translated by Reuters.

Uncertainty Drives Sell-First Mentality Among Investors

The uncertainty created by Trump’s threat is what is driving the selling. Investors tend to sell first and ask questions later. And the developing situation is raising many questions. The major question is whether Europe will try to keep the confrontation confined to a more “classic” trade war, or whether something harsher will develop.

Trump and other world leaders are expected to attend the World Economic Forum taking place in Davos, Switzerland this week, giving them an opportunity to discuss Greenland. Trump will also be addressing the forum on Wednesday.

S&P 500 Futures Break Support, Test 50-Day Moving Average

Technically, the March E-mini S&P 500 Index futures contract gapped lower on the opening, through trend line support at 6981.50. It is currently testing the 50-day moving average at 6892.07. In addition to being support, it is also a potential trigger point for a further acceleration into the intermediate 50% level at 6809.50.

Due to the cash market holiday, conditions are likely to be somewhat thinner in the futures market, leading to the possibility of heightened volatility and exaggerated movement.

Nasdaq-100 Futures Plunge Below Key Support, Erase 2026 Gains

March E-mini Nasdaq-100 Index futures are also sharply lower after its gap lower opening. Not only did the index break below trend line support, but it also crossed to the weak side of the 50-day moving average at 25575.10, making it new resistance along with the downtrend line at 25618.50.

The selling pressure was also strong enough to cross to the weak side of a key 50% level at 25411.75. A sustained move under this pivot will open the door to further downside pressure with the January 2 main bottom at 25265.25 the first target, followed by the December 17 main bottom at 24887.75.

The tech-heavy index is also trading lower for the year, erasing all of its 2026 gains.

More Information in our Economic Calendar.