Tariffs, Greenland, and Iran. What's Happening?

Underneath the hood of this market selloff.

The market took a hit today.

Everyone is looking for a very specific reason why the markets dropped, but reality is the market was overheated. Tariffs, Greenland, and Iran threats were just the straw that broke the camels back.

Oftentimes, the big positive or negative (in this case) headlines come right as price action needs a catalyst one way or the other.

I noticed a lot of euphoria out there over the last few weeks. Many were all in high beta tech stocks and posting their massive 50% or more YTD gains just two weeks into the year. The market often punishes those who start out hot and brings those market participants back to reality. This isn’t a free money casino, although for some it can feel that way for brief periods of time.

Before we get into this article, I want to highlight and mention that my 2026 Market Outlook was published last weekend, I’ll link it here. In this article I discuss how I’m thinking about the market and indices heading into the new year, my top individual stock and trade ideas for 2026, the themes I’m focused on and the specific names within them including thematic baskets you can own or trade, macro and micro analysis, key index levels, crypto, sector and industry breakdowns, international stocks, and more. It’s a big piece, but I think it’s well worth the read. I put my all into this outlook to help you prepare for the upcoming year, and I hope you find it useful.

In the remainder of this article I’m going to discuss some underlying market mechanics driving the market, the catalysts moving the market, my thoughts on whether or not this could be a repeat of April 2025, my focus areas, and more.

Let’s dive in.