Gold Drops 1% as Trump Eases Tariff Stance on Europe, Greenland Deal Advances

Gold fell as much as 1% on January 21, 2026, after President Donald Trump withdrew threats to impose tariffs on European nations and announced a "framework of a future deal" regarding Greenland, easing geopolitical tensions. The precious metal declined to $4,793.96 an ounce by 7:36 a.m. in Singapore, retreating from a record high above $4,888 on January 20. Silver dropped 1.3% to $91.86, while platinum and palladium also weakened. The Bloomberg Dollar Spot Index rose 0.1%, supported by increased risk appetite following Trump’s social media announcement after his meeting with NATO Secretary-General Mark Rutte. No further details of the proposed agreement were disclosed.