Shares of industrial and transportation companies fell after President Donald Trump doubled down on threats to seize Greenland for the U.S. ahead of his appearance at the World Economic Forum.
European defense contractors such as Rheinmetall and BAE Systems rose as traders bet Germany and Britain would continue ramping up spending on defense, amid strains on the North Atlantic Treaty Organization alliance.
Treasury Secretary Scott Bessent said he expects to go ahead with the U.S. trade deal with the European Union, despite some EU lawmakers saying they might hold up the agreement over President Trump's comments over Greenland.
Industrial and office supplies maker 3M forecast acceleration in revenue growth in 2026 following an up-tick in sales in the fourth quarter.
One strategist said the data-center boom that drove surprisingly strong U.S. industrial activity in 2025 is set to continue.
"In the nonresidential areas of construction, a lot of the industrial areas tied to data centers, power transmission and reshoring of manufacturing, we see very positive capital spending cycles," said Eric Marshall, president of Dallas mutual-fund firm Hodges Capital.
Write to Rob Curran at rob.curran@dowjones.com
(END) Dow Jones Newswires
January 20, 2026 17:11 ET (22:11 GMT)
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