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Wall Street Revives ’TACO Trade’ as Trump Walks Back Greenland Threats

Wall Street Revives ’TACO Trade’ as Trump Walks Back Greenland Threats

Published:
2026-01-22 21:14:02
15
2
BTCCSquare news:

U.S. stocks extended gains following President Trump's retreat from aggressive rhetoric on Greenland and European tariffs, reigniting discussions of the 'TACO Trade' strategy. The acronym—'Trump Always Chickens Out'—reflects a market pattern where assets rebound after initial sell-offs triggered by presidential threats.

Dip-buyers have capitalized on this volatility since 2025, though recent events show diminishing market sensitivity. The S&P 500's resilience underscores how traders now anticipate policy reversals, turning geopolitical noise into tactical entry points.

|Square

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