The International Monetary Fund has issued a stark warning about the potential global economic fallout from escalating trade tensions between America and Europe, sparked by a dispute over Greenland. The Fund's chief economist, Pierre-Olivier Gourinchas, cautioned that tit-for-tat tariffs could significantly reduce global growth, disrupt supply chains, and trigger sharp declines in stock markets. Precious metals like gold and silver have surged to record highs as investors seek safe havens, while stock markets have fallen amid rising uncertainty. The International Monetary Fund's latest outlook, which had previously forecast a modest increase in global growth, now highlights the risk that further protectionist measures and geopolitical tensions could derail economic recovery and increase market volatility.