WSJ What’s News – “President Trump’s Sudden U-Turn on Greenland”

Date: January 21, 2026
Host: Alex Osil
Guests: Robbie Grammer (WSJ National Security Reporter), Nick Timoros (WSJ Chief Economics Correspondent), Callum Borchers (WSJ “On the Clock” Columnist)

Overview

This episode dives into President Trump’s dramatic reversal on Greenland: backing off tariffs on Europe and publicly disavowing the use of force to gain control of the Arctic island. The hosts and expert correspondents dissect the implications for U.S.-European relations, the market’s reaction, and the ongoing uncertainties about Trump’s intentions. Additional segments cover the Supreme Court hearing on Federal Reserve Governor Lisa Cook, a congressional move involving the Clintons, blue-collar job prospects for white-collar workers, and Amazon’s expansion into big box retail.

Key Topics & Segments

1. Trump’s Greenland Reversal and U.S.–Europe Tensions

[00:23 – 04:46]

• Backdrop: The day began with heightened U.S.-Europe tensions over potential tariffs and Trump’s push regarding Greenland. By the afternoon, Trump made a “U-turn,” announcing he would not impose tariffs and would not use force to secure the island.

• European Response:

  • Robbie Grammer reports European officials are “somewhere between dazed, shocked and confused” by Trump’s abrupt shift.
  • Despite de-escalation, anxiety remains high as European leaders fear Trump could reverse course at any moment.
  • Quote:

    “Even though this is now a new de-escalation, they’re still just as shocked, just as confused, and just about as anxious as they were before.”
    — Robbie Grammer [02:19]

• Trump’s Statement in Davos:

  • Trump makes a point to clarify he won’t use force:

    “I don’t have to use force. I don’t want to use force. I won’t use force.”
    — President Donald Trump [01:40]

• Proposed Framework for Greenland:

  • The U.S. floated a “framework for a future deal” after talks with NATO Secretary General Mark Rutte, seen as a “Trump whisperer.”
  • The model cited is the Compact of Free Association (COFA), typically used for Pacific islands, offering U.S. funding and security in exchange for strategic presence – but Greenland and Denmark reject any compromise on sovereignty.
  • Quote:

    “These Danish and Greenlandic leaders say is an absolute red line. They’re not willing to cede Greenland’s territory or sovereignty. They’re saying this island, our people, are not for sale. And these are just two irreconcilable differences between the American side and the European side here.”
    — Robbie Grammer [03:50]

• Market Reaction:

  • Trump’s de-escalation triggered an immediate surge in the stock market, with the Dow, S&P, and Nasdaq all up 1.2%.
  • Coverage resumes with business highlights and context in later segments. [08:54]

2. Supreme Court Hearing: Federal Reserve Governor Lisa Cook’s Dismissal

[04:53 – 07:22]

• Case Summary: Trump tried to fire Lisa Cook, Fed governor, last year. The Supreme Court’s decision could define how insulated the Fed is from presidential interference—a major concern for markets.
• Hearing Details:

  • The President fired Cook via a Truth Social post; the Court questioned whether due process was followed.

  • Justices seemed likely to let Cook stay for now, pending a full legal challenge.

    • Quote:

      “The legal analysts that I spoke with after the hearing thought the justices sounded inclined to let Lisa Cook stay in her job, at least while her broader legal challenge plays out.”
      — Nick Timoros [06:15]

  • Skepticism toward the administration’s arguments comes from both analysts and Justices, who worry about threats to Federal Reserve independence.

  • Justice Kavanaugh questions the precedent this might set for future Presidents tampering with Fed policy.

3. Congressional Action: Clintons Found in Contempt Over Epstein Deposition

[07:27 – 08:10]

• Development: A bipartisan House committee voted to find Bill and Hillary Clinton in contempt for declining to appear regarding Jeffrey Epstein; it now advances to the full House.
• Clintons’ Stance: They argue subpoenas are invalid and deny any knowledge of Epstein’s crimes.
• Note: Briefly noted, with no panel discussion.

4. Stock & Business News: Market Rally, Amazon’s Big Box Expansion, Earnings

[08:54 – 10:45]

• Market Surge: U.S. indexes jumped on Trump’s tariff reversal.
• Earnings:
  • Charles Schwab’s Q4 profits soared 34%, driven by increased young investor activity.
  • Johnson & Johnson’s revenue beat expectations, helped by sales in cancer and autoimmune drugs.
• Amazon:
  • Launching its biggest store ever near Chicago—a 230,000 sq. ft. hybrid retail/fulfillment center, outpacing Walmart and Target footprints.
  • Expansion into bricks-and-mortar suggests a new phase for Amazon’s U.S. presence.

5. Blue-Collar Job Opportunities for White-Collar Workers

[10:45 – 12:19]

• Labor Market Context:

  • White-collar professionals face a tough job market; blue-collar industries are desperate for workers.
  • Quote:

    "If you're a white collar worker who's feeling kind of stalled, you might say, well, geez, am I willing to take a little step back in the short run to really boost my earnings in the longer term?"
    — Callum Borchers [11:44]

• Paths to High Earnings:

  • Example: Service advisor at Crash Champions, a rapidly expanding auto repair company—$60,000 during apprenticeship, management paths to $200,000+.
  • Transition requires a temporary pay cut and a mindset shift, especially challenging for mid-career workers.

• AI Factor:

  • Blue-collar jobs may be more “AI-proof” than some entry-level office roles.
  • Younger workers increasingly weigh automation risk when making career choices.

Notable Quotes

• “We probably won’t get anything unless I decide to use excessive strength and force where we would be, frankly, unstoppable. But I won’t do that. ... I don’t have to use force. I don’t want to use force. I won’t use force.”
  — President Donald Trump [01:40]

• “A lot of European officials ... are somewhere between dazed, shocked and confused. ... Even though this is now a new de-escalation, they’re still just as shocked, just as confused, and just about as anxious as they were before.”
  — Robbie Grammer [02:19]

• “Anything that undermines Greenland and Denmark’s sovereignty over Greenland… is an absolute red line. ... These are just two irreconcilable differences between the American side and the European side here.”
  — Robbie Grammer [03:50]

• “The legal analysts that I spoke with after the hearing thought the justices sounded inclined to let Lisa Cook stay in her job, at least while her broader legal challenge plays out.”
  — Nick Timoros [06:15]

• “If you’re a white collar worker who’s feeling kind of stalled, you might say, well, geez, am I willing to take a little step back in the short run to really boost my earnings in the longer term?”
  — Callum Borchers [11:44]

Timestamps for Important Segments

• Trump’s Greenland U-turn and Markets: [00:23 – 04:46]
• Federal Reserve Lisa Cook Hearing: [04:53 – 07:22]
• Clintons in Contempt Over Epstein: [07:27 – 08:10]
• Market & Earnings Recap, Amazon’s Big Box Move: [08:54 – 10:45]
• White-to-Blue Collar Career Shifts: [10:45 – 12:19]

Tone & Style

The episode maintains a brisk, fact-driven Wall Street Journal tone, with calm but urgent reporting and analysis, colored by on-the-ground European confusion and U.S. market optimism.

Summary

This episode highlights a whiplash shift in U.S. foreign policy as President Trump unexpectedly backs off aggressive posturing over Greenland, calming (but not erasing) European anxieties and boosting U.S. markets. The Supreme Court signals support for preserving independent monetary policy in the face of unprecedented White House interference, while Congress takes an unusual bipartisan action against the Clintons over the Epstein case. In business, the markets respond strongly to the day’s news, Amazon tries a super-sized store, and listeners are offered insights into lucrative blue-collar paths amid office job uncertainty—especially relevant as AI reshapes the employment landscape.