Dow Futures tick up, in a sign of relief among markets following President Donald Trump’s announcement that he will not impose fresh tariffs on several European nations over his demands for Greenland. Reports say the decision came after discussions between Trump and NATO and European leaders, although details of a “framework of a future deal” are scarce. prices back away from record highs following the agreement. Elsewhere, chipmaker is due to report, while inflation data closely watched by the Federal Reserve will be released.

Dow futures point higher on Thursday, as investors appeared to cheer President Trump’s reversal of a threat to slap additional tariffs on a host of European countries. By 03:00, the Dow futures contract had gained 61 points, or 0.1%, S&P 500 futures had risen by 20 points, or 0.3%, and futures had increased by 117 points, or 0.5%. The main averages advanced on Wednesday, rebounding from their biggest dip since October in the prior session, following Trump’s announcement that he had reached a “framework of a future deal” with the leader of the NATO alliance on Greenland. Trump, who had spent much of the past days saying he would place new levies on eight different European countries from February 1 unless the U.S. is allowed to take ownership of the semi-autonomous Danish territory, added that he would not be imposing those duties. Traders were also assessing an accelerating river of corporate earnings, with the quarterly reporting period beginning to pick up the pace. Shares of United Airlines rose by more than 2% on a solid fourth-quarter income beat, while Netflix shed over 2% following soft forward guidance from the streaming giant.

Trump’s U-turn, which reportedly came after days of behind-the-scenes conversations with NATO and European officials, helped to soothe some fears that the Greenland crisis could deepen a rift between Washington and Europe. Writing on social media, Trump said the agreement “if consummated” will be “a great one for the United States of America” and “all Nations” in NATO, or the North Atlantic Treaty Organization. He provided no further details about the accord, saying only that “additional discussions” are being held concerning the proposed “Golden Dome” defense shield “as it pertains to Greenland.” Sources reported that negotiations are expected to focus on a possible U.S. agreement with Denmark on stationing troops at bases on the massive island and an expansion in Europe’s security efforts across the Arctic region. The U.S. would also receive the first right of refusal for Greenland’s minerals, the WSJ said. Greenland has sizeable amounts of rare earths minerals, which are key to a wide swathe of industries and have played a major role in recent U.S. trade negotiations, particular with China. Earlier on Wednesday, speaking to a packed crowd of the world’s elite at the World Economic Forum’s annual meeting in Davos, Switzerland, Trump also seemed to rule out using military force to seize Greenland. The relief rally in risk assets was accompanied by a strengthening in the U.S. dollar. In a note to clients, analysts said that while investors may need to learn more about the Greenland deal before turning their attention away from the issue, an approaching meeting of the Federal Reserve next week “means some refocus on macro drivers is on the cards.”

Gold prices dipped in European trade on Thursday, after hitting a record high near $4,900 per ounce in the previous session, as Trump’s tariff retreat reduced safe-haven demand. Spot gold edged down 0.1% to $4,826.25 an ounce by 03:40, backing away from an all-time peak of $4,888.1/oz in the previous session. U.S. gold futures slipped 0.2% to $4,826.39/oz. The yellow metal had surged over 6% in the last three sessions amid heightened geopolitical risk linked to the transatlantic dispute over Greenland and potential tariffs on European imports. The rally pushed bullion close to the psychological $5,000 mark, as investors sought shelter from global uncertainty.

Intel is slated to unveil its results following the close of the U.S. markets on Thursday. Under CEO Lip-Bu Tan, the California-based chipmaker has been pushing to reduce costs and shore up its finances during a time when it is grappling with intensifying competition in the PC and server central processing unit markets. Markets have also been keen to see if Intel’s drive to break into the artificial intelligence chip market can produce results. But the company was given a major lifeline last year when AI-darling Nvidia, tech investment giant SoftBank and even the U.S. government stepped in with significant investments. Nvidia, in particular, bought $5 billion in Intel shares in December. Earlier this month, Intel also announced its new AI chip for laptops, seeking to assuage investor concerns around products made using the firm’s next-generation manufacturing process. Other companies scheduled to report today include consumer goods titan Procter & Gamble and jet engine provider GE Aerospace.

On the economic calendar, traders will be keeping tabs on the release of the U.S. personal consumption expenditures price index, an inflation metric closely monitored by Fed policymakers. The so-called “core” PCE reading from the Bureau of Economic Analysis for November is seen holding steady at 0.2% month-on-month and an annualized 2.8%. Earlier this month, separate data from the Labor Department showed that U.S. headline consumer price growth matched the preceding month in December, while the underlying gauge eased slightly. The analysts said this report could serve as evidence of “muted” price pressures on the world’s largest economy, a central factor playing into Fed interest rate decisions. Employment, another focus for the central bank, will also be in the spotlight when weekly jobless claims are unveiled later today. Last week, the number of Americans filing for first time unemployment benefits fell below 200,000.