India, Jan. 20 -- NEW YORK, United States, January 20 - U.S. stock indices opened sharply lower on Tuesday as markets reacted to renewed trade tensions sparked by President Donald Trump. Investor sentiment was rattled by the administration's threat to impose escalating tariffs on key European allies in connection with its push to purchase Greenland.

At the opening bell, the Dow Jones Industrial Average fell 1.32%, the S&P 500 dropped 1.39%, and the Nasdaq Composite lost 1.64%. The sell-off broadened as the session continued, with all three major indices staying deeply in negative territory by late morning. The Cboe Volatility Index (VIX), known as Wall Street's "fear gauge," spiked to its highest level since late November.

The market mo...