Understood - here is vastly simplified version:
The world is connected at the hip, and based on a 75 year old rule (approx.) of ideas which began just after the end of WWII.
In short and not to break the hearts of any professors teaching history, the idea of having each nation rely on another grew Materialism (shared prosperity) in such a way that once the WTO, NATO, IMF, and just a plethora of other organizations to manage it were enacted, it brought in a new era
The U.S. with key allies designed the entire thing....another Rule of Law "great experiment", not unlike the first one that created the U.S.A.
Approx. 34 years ago(?) you could have a thing (car) that had parts built from 30+ different countries. Unfortunately over the last 18(?) years more and more "end state items", (pieces and parts of stated) started to migrate to China, and China began applying leverage (started back in 1994(?).
To keep this from becoming a 100 page document, just know that products are made by companies, and companies are on the Stock Market.
Also be aware even private companies get their raw materials from same pathways.
I left many key points out but the above gives enough back story to answer question.
OK now lets look at what's going on today--------------------
Short and simple - Germany as the wealthiest EU nation is being held hostage by Russia because it is not energy independent. Most of the West is being held Hostage by China because they "in part" make 30% of all our parts and pieces that make up the end state of things.
We just sanctioned Russia as did all but 5 other countries in the world who are claiming no side. China has stated it will help Russia and has already started. Thus they will be next , and 30% of all goods produced world wide must resettle into stable partnered countries and production will again start up.
In the meantime, ONE thing we see going on is a huge reduction of upcoming Mergers and Acquisitions, as too many companies have too many ties with Russia and China directly or INDIRECTLY and by LAW have been told to cut them ASAP.
Soooo, when you have money you look for sound investments, and the biggest NORMALLY during a war time event, are those that are COMPLETLY HOMEGROWN as they do NOT rely on other countries or their personnel.
That is why I said what I said. I hope that helped.
I left out so much reasoning and basic facts that stabilize the above such as the USD being the international currency and how that impacts the banking system, which in turn defines company outlook and direction etc....just know that during unstable times, people look for more stable option, esp. one that has potential for growth.
