Investors hedge China, tech risks amid TACO 2.0

While US President Donald Trump's tariff threats over Greenland dominated the narrative for broader equity markets last week, investors were hedging risks elsewhere. Only three weeks into 2026, the market pattern is similar to last year:

Trump makes threats, markets start to show signs of upset then, as the tension de-escalates over a few days, stocks resume a grind higher. Meanwhile, away from the Trump-driven headlines that moved the broader indexes and the VIX, some investors were putting on hedges against geopolitical risks that could pressure shares of Chinese companies and against the potential for disappointing tech earnings.