OPENING CALL

Stock futures pointed to a higher open Thursday as a relief rally over easing Greenland tensions looked set to continue.

Nasdaq contracts were driving premarket gains, while gold and oil prices fell, after Trump rowed back on Greenland-related tariffs.

Pepperstone said it was yet another example of Trump's "escalate to de-escalate" tactics".

"You'd expect market participants would've grown wise to this by now, yet the hysteria and hyperbole seen over the last few days suggests that very much is not the case."

But risks remain. Denmark's prime minister said Thursday "we cannot negotiate on our sovereignty."

Investors may get a break from the tariff drama today. Data out includes the Federal Reserve's preferred inflation measure.

The delayed PCE for October and November could offer clues about whether the Fed continues its course of cautious rate cutting .

Meanwhile in Davos , Trump launched his Board of Peace and Elon Musk is a late addition to the World Economic Forum agenda.

Stocks to Watch

Intel was up around 1.5% premarket. It rose 12% in Wednesday's regular session following an analyst upgrade and ahead of earnings Thursday. AMD, Micron Technology and other semiconductor companies also rallied ahead of the open.

Sweden's EQT agreed to buy U.K.-based private-equity firm Coller Capital for up to $3.7 billion. Shares in EQT rose 4.5%.

Thyssenkrupp rallied for a second day after it gave details of a pitch for a lucrative Canadian military contract.

Volkswagen said its car business unexpectedly threw off $7 billion of cash last year. The stock jumped 5% in Frankfurt.

Watch For:

Weekly Jobless Claims; Revised GDP for 3Q; Personal Income and Outlays for October and November; EIA Weekly Petroleum Status Report; earnings from GE Aerospace, Intel, Procter & Gamble

Today's Top Headlines/Must Reads:

- The Uproar Over Affordability Is Coming for Insurers

- Change in Venezuela Isn't the Only Reason to Own Oil-Field-Services Stocks

- Private-Credit Investors Are Cashing Out in Droves

MARKET WRAPS

Forex:

The dollar stabilized following recent losses.

Commerzbank said the Greenland episode could strengthen Europe's efforts to become more independent of the U.S and encourage the region to decouple itself more strongly from the dollar.

Bonds:

Treasury yields fell slightly in European trade as investors remained cautious despite a visibly calmer pattern compared with previous days.

The 10-year JGB yield was down .

Barclays said the bond market had found some calm amid expectations that Tokyo may introduce policy measures in response to the recent surge in yields.

Energy:

Oil prices were lower on easing geopolitical tensions.

Meanwhile, the International Energy Agency reiterated its expectation of a significant supply glut this year, but raised its oil-demand growth expectations.

Metals:

Gold prices slipped after the geopolitical concerns that fueled bullion's rally eased off.

Goldman Sachs raised its December 2026 forecast for gold to $5,400/oz from $4,900/oz previously.

Copper

Prices gained, likely due to signs of tightness in the base metal. ANZ Research said concerns around tightness are unlikely to be eased by continuing supply-side issues.

Iron ore

Prices edged lower in early Asian trading.

Positives had largely been priced in , Nanhua Futures said. Overall, supply and demand conditions remained relatively healthy. 


   TODAY'S TOP HEADLINES

Why AMD's stock just rocketed to its longest winning streak in nearly a year

Advanced Micro Devices shares extended their rally into a seventh session as optimism builds for the company's business of selling central processing units for artificial-intelligence servers.

When the chip maker announces fourth-quarter earnings results next month, KeyBanc analyst John Vinh said he's expecting a revenue beat and higher guidance, mostly driven by strong demand for AMD's server CPUs, noting the latest-generation Turin data-center CPU.

Intel Stock Surges to 4-Year High Ahead of Earnings. Why Optimism Is Growing.

Intel stock gained again on Wednesday ahead of the chip company's earnings report. Analysts are becoming gradually more enthusiastic about its prospects.

Intel shares were up 11.7% at $54.25 for the session, their highest close since January 2022.

Procter & Gamble Earnings Are Up Next. Weak Consumer Spending Remains a Worry.

Procter & Gamble stock has struggled lately, with Wall Street worrying about a slowdown in spending that could weigh on demand for consumer goods. Shareholders likely are hoping an earnings report due out on Thursday morning can stop the rot.

Analysts are expecting the company, owner of the Head & Shoulders and Gillette brands, to report adjusted earnings of $1.86 a share for its fiscal second quarter, according to FactSet. The consensus forecast is that revenue will rise 1.9% from a year ago, to $22.30 billion.

Global Markets, U.S. Futures Rally on Trump Tariff U-Turn

Global markets and U.S. futures rallied after President Trump back-tracked on threats to hit eight European countries with 10% tariffs in February. In a Truth Social post, Trump said that he agreed "the framework of a future deal" over Greenland with NATO Secretary-General Mark Rutte. After jumping sharply Wednesday, U.S. equities continued to rally premarket, following broad gains in Asia and a strong European open.

Across the globe, the market picture looked closer to last Friday's close. Safe-haven precious metals fell back, while oil gained. U.S. Treasurys and the dollar stabilized following Trump's speech at Davos and subsequent tariff pivot. Sentiment was also improved by easing pressure on Japanese Government Bonds amid anticipation of policy intervention in Tokyo to soothe investor fears over soaring yields.

Inflation Just Won't Go Away. Why PCE Should Keep the Fed on Hold.

A key inflation report due Thursday morning is expected to show price pressures holding steady, reinforcing why Federal Reserve officials remain cautious about cutting interest rates.

The Fed's preferred inflation gauge, the personal consumption expenditures price index, is forecast to show core prices, which exclude volatile food and energy prices, rose 0.2% in November and 2.8% from a year earlier, according to FactSet estimates. Headline PCE is also expected to increase 0.2% on the month and 2.8% year-over-year.

Supreme Court Balks at Trump's Push to Control the Fed

WASHINGTON-Supreme Court justices across the ideological spectrum expressed deep unease on Wednesday about President Trump's attempt to fire a member of the Federal Reserve, with several stressing the importance of a central bank insulated from political pressure.

Their comments during nearly two hours of oral arguments signaled that the court will likely allow Fed board member Lisa Cook to remain in the job while her legal challenge to her dismissal proceeds in the lower courts.

Inside Trump's Head-Spinning Greenland U-Turn

DAVOS, Switzerland-When President Trump arrived in the snow-covered Swiss Alps on Wednesday afternoon, European leaders were panicking that his efforts to acquire Greenland would trigger a trans-Atlantic conflagration. By the time the sun set, Trump had backed down.

The about-face followed days of back-channel conversations between Trump, his advisers and European leaders, including NATO Secretary-General Mark Rutte and German Chancellor Friedrich Merz, according to people close to the talks. The Europeans, who stood united in their opposition to Trump acquiring Greenland, employed a mix of enticements, such as offers to boost Arctic security, and warnings, including about the dangers to the U.S. of a deeper rupture in the North Atlantic Treaty Organization.

The Chinese Spy Machine Infiltrating Taiwan's Military

TAIPEI-Sgt. Lai Chung-yu had almost everything a Chinese spy recruiter could want in a Taiwanese asset.

As a member of the military police battalion tasked with guarding the offices of the president and many senior officials, he knew the security personnel and measures used to protect them.

The U.S. Is Actively Seeking Regime Change in Cuba by the End of the Year

Emboldened by the U.S. ouster of Venezuelan President Nicolás Maduro, the Trump administration is searching for Cuban government insiders who can help cut a deal to push out the Communist regime by the end of the year, people familiar with the matter said.

The Trump administration has assessed Cuba's economy as being close to collapse and that the government has never been this fragile after losing a vital benefactor in Maduro, these people said. Officials don't have a concrete plan to end the Communist government that has held power on the Caribbean island for almost seven decades, but they see Maduro's capture and subsequent concessions from his allies left behind as a blueprint and a warning for Cuba, senior U.S. officials said.

ICE Moves to Enter Homes Without Warrants Signed by a Judge

The Trump administration is asserting new powers to forcibly enter the homes of people they are hoping to arrest without a criminal warrant signed by a judge, according to people familiar with the matter, including current and former U.S. Immigration and Customs Enforcement officials.

Over the summer, lawyers at ICE and its parent agency, the Department of Homeland Security, penned a secret memo expanding the authority by which agents may enter homes of immigrants with final deportation orders, the people said.

Write to gareth.mcpherson@wsj.com

TODAY IN CANADA

Earnings:

Novagold Resources 4Q

Economic Indicators (ET):

0830 New Housing Price Index for December

0830 Employment Insurance for November

Stocks to Watch:

(MORE TO FOLLOW) Dow Jones Newswires

01-22-26 0620ET