Geopolitical risk just hit the highest level in over 65 years. The Goldman Sachs chart goes back to the 1960s. Nothing in that entire dataset looks like what is happening right now.
The Cold War. Vietnam. The oil crisis. The Soviet invasion of Afghanistan. The Gulf War. 9/11. The 2008 financial crisis. The pandemic.
Every one of those events shows up as a spike on this chart.
None of them reached where we are today.
The Geopolitical Risk Index just surged to levels that make every historical crisis in the last 65 years look manageable by comparison. And the Geopolitical Alignment Index, which measures how fragmented the world's nations are from each other, is simultaneously at its worst reading in the entire dataset.
More risk. Less alignment. At the same time. At record levels.
Think about what is driving this reading right now.
The Iran War and its global supply chain disruption. A Chevron tanker hit by a drone in the Black Sea. North Korea building nuclear fuel at exponential rates. Israel defying US ceasefire announcements in Lebanon. South Korea crashing 20% in a single month. Houthis banning Israeli ships from the Red Sea. 90 central banks moving away from the US Dollar for the first time in survey history.
Every single one of those data points is a separate input into this index.
And Goldman Sachs projects the dashed green arrow going higher into 2030.
This is not a temporary spike. This is a structural shift in how dangerous and divided the world is becoming.
Gold overtook Treasuries as the top reserve asset for a reason.
Americans are holding record cash at the 100th percentile of history for a reason.
The chart just told you the reason.
#Geopolitics #GlobalRisk #GoldmanSachs #MacroEconomics #WorldOrder