In a notable shift of stance, President Donald Trump has assured that the United States will not resort to military force to acquire Greenland, nor will it withdraw from NATO. This announcement comes after Trump’s earlier aggressive suggestions at the World Economic Summit, where he argued for U.S. acquisition of the Danish territory. Initially hinting at the use of overwhelming force, Trump later stated, “We probably won’t get anything unless I decide to use excessive strength and force, where we would be – frankly – unstoppable,” but concluded with, “But I won’t do that. OK. Now everyone says, ‘Oh, good.'” This reassurance led to an immediate recovery in the stock markets, alleviating fears of a military conflict that could have fractured NATO.

The financial markets reacted positively to Trump’s announcement, with the S&P 500 and Nasdaq indices climbing over 1 percent, and the Dow Jones Industrial Average nearing a similar increase as Trump’s appearance wrapped up. Previously, markets had dipped following his threat to impose tariffs on eight European allies to push for Greenland negotiations. While tariffs remain a possibility, Trump has called for an “immediate negotiation” over Greenland, despite mistakenly referring to it as “Iceland” during his speech in Davos, Switzerland. His trip to the summit faced delays due to technical issues with Air Force One, but Trump managed to arrive in time to deliver his address.

The clarification on military intervention came after Trump had previously refused to disclose the extent of his willingness to secure Greenland, merely telling reporters, “you’ll find out.” Prior to this, he had not dismissed the possibility of military action. Concerns also loomed over the potential for Trump to consider withdrawing the U.S. from NATO, an idea he has reportedly discussed with advisors. During his speech, Trump criticized European nations, targeting their immigration policies and reliance on wind energy, among other topics.

He even mocked the sunglasses being sported by French President Emmanuel Macron. But Trump remained committed to staying in the NATO alliance despite expressing some doubts about the alliance working both ways. ‘The problem with NATO is this: we’d be there for them 100 percent,’ Trump pledged. ‘I’m not sure they’d be there for us if we made the call.’ When Trump brought up Greenland during his speech, he did so almost teasingly. ‘Would you like me to say a few words about Greenland?’ Trump asked, knowing the topic was the elephant in the room.

The leaders of Denmark, a member of the NATO alliance, have repeatedly said they’re not interested in selling off Greenland, which Trump argued Wednesday was part of the U.S.’s purview, due to it being located in North America. ‘This enormous unsecured island is actually part of North America, on the northern frontier of the western hemisphere. That’s our territory,’ the president said. ‘It is therefore a core national security interest of the United States of America.’ Trump said that American presidents, for two centuries, have been trying to acquire the island. ‘They should have kept it after World War II, but they had a different president,’ he said. ‘That’s all right. People think differently,’ Trump shrugged.

The president then knocked Denmark for not spending enough to bolster Greenland’s defenses, as the president has pushed that it’s under threat from both Russia and China. ‘There’s no sign of Denmark there. And I say that with great respect for Denmark, whose people I love, whose leaders are very good,’ Trump said. ‘It’s the United States alone that can protect this giant mass of land, this giant piece of ice, develop it and improve it and make it so that it’s good for Europe and safe for Europe and good for us,’ he continued. ‘And that’s why I’m seeking immediate negotiations to once again discuss the acquisition of Greenland by the United States,’ he added.

Trump said he wanted ‘full ownership’ of Greenland – and not just the current deal in which the Danes allow for a U.S. military presence – because the U.S. needs to be fully invested in it. ‘All we’re asking for is to get Greenland, including the right title and ownership, because you need the ownership to defend it. You can’t defend it on a lease,’ the president argued. ‘Who the hell wants to defend a license agreement?’ he mused.