New Delhi, Jan. 24 -- TACO may have saved the day, but like the storm hitting much of the country, markets could freeze up again.

TACO, of course, is an acronym for Trump Always Chickens Out. It was the ticket to a recovery this past week after the president triggered a selloff over his gambit to acquire Greenland for the U.S. When the dust settled, the Dow Jones Industrial Average ended down 0.5% for the week, while the S&P 500 index lost 0.4%, and the Nasdaq Composite slipped 0.1%.

The small weekly move belied a turbulent stretch. Donald Trump's inflammatory rhetoric about Greenland unnerved global stock and bond markets as European leaders signaled they were willing to launch a retaliatory "bazooka" to maintain sovereignty over the w...