ASX-listed gold miners keep climbing, while broader market falls, as Donald Trump escalates Greenland threats

Donald Trump has heightened fears of trade war between the United States and Europe, sending investors ducking for cover and ASX-listed gold stocks to fresh heights.

Mr Trump vowed to slap extra tariffs on eight European allies unless they clear the way for the US to purchase Greenland, which is a self-governing territory of Denmark.

These eight NATO countries — Denmark, Norway, Sweden, France, Germany, the United Kingdom, the Netherlands and Finland — have sent troops to Greenland amid the White House’s escalating push to acquire the Arctic island.

“This is a very dangerous situation for the Safety, Security, and Survival of our Planet. These Countries, who are playing this very dangerous game, have put a level of risk in play that is not tenable or sustainable,” the US president posted on social media over the weekend.

He ramped up the rhetoric with another post on Monday.

“NATO has been telling Denmark, for 20 years, that ‘you have to get the Russian threat away from Greenland’. Unfortunately, Denmark has been unable to do anything about it. Now it is time, and it will be done!!!”

The US President has repeatedly said Greenland is crucial to his country’s security because of its strategic location near Russia and large mineral deposits, and has not ruled out using force to take it.

“Sadly, Trump still seems intent on throwing around tariff threats on the slightest whim. Markets are watching and waiting to see if the US Supreme Court allows him to keep wielding his tariff weapon with abandon,” Betashares chief economist David Bassanese said on Monday.

“Either way, I suspect Trump’s threats toward Europe with respect to Greenland could ultimately backfire.

“For starters, it seems highly unlikely any self-respecting European country would give up on Greenland in the face of tariff threats alone.

“What’s more, further tariffs on major trading partners would only add to the risks facing the US economy — especially if Europe finally responds with trade retaliation of its own.”

Growing threats of trade war between the world’s largest economy and European economic powerhouses bled onto Australian markets.

The benchmark S&P/ASX 200 index was down 0.3 per cent to 8874.50 at the close of Monday trade.

It remains up 1.7 per cent for the year to date.

Gold miners, once again, were a shining light on dark day for the market as investors flocked to the safe-haven precious metal.

Northern Star Resources added 3.2 per cent, Evolution Mining 3.1 per cent, Genesis Minerals 3.7 per cent, Ramelius Resources 1.1 per cent, Capricorn Metals 4.1 per cent and Regis Resources 2.7 per cent.

All of those companies hit new share price highs, except for Northern Star, which is grappling with operational issues at its ageing Kalgoorlie Super Pit.

An ounce of gold is changing hands for about $US4665/oz, having more than doubled over the past two years.

Tech stocks were among the hardest hit by the trade tensions. WiseTech Global lost 4.4 per cent, Life360 7.5 per cent and Xero 2.6 per cent.

The big four banks also dragged the market down, led by National Australia Bank losing 1.3 per cent.

Uranium stocks, meanwhile, were on a tear on Monday - likely tied to short sellers covering their positions as resurgent demand for the radioactive energy source continues.

Boss Energy rose 13.6 per cent and Paladin Energy 6.6 per cent.