BlockBeats News, April 28th - Senior Columnist Mike Dolan from Reuters provided the latest analysis, suggesting that the current global market is experiencing a sustained uptrend against the backdrop of escalating geopolitical conflicts. This trend is not due to investors ignoring risks but rather the market abandoning the old logic of globalization and transitioning to a new pricing system based on "security-driven growth."
The analysis points out that amid the Middle East conflicts, fractures in the trade system, and intensified tech competition among superpowers, funds have not exited the market but have instead flowed into sectors with "national security attributes" such as semiconductors, AI infrastructure, energy, defense, and cybersecurity.
Mike Dolan has termed the current environment as "Permacrisis," suggesting that the world is shifting from a rules-based globalization phase to an era of prolonged disorder and geopolitical gamesmanship. In this context, core resources such as computing power, unmanned systems, energy, and cybersecurity are now seen as "strategic assets" by the market.
The report argues that the current stock market surge exhibits distinct structural features, especially with enterprises related to AI computing power and deep tech attracting significant hedging funds. The market is essentially betting that the core of future global competition will no longer be efficiency but rather security, supply chain control, and technological sovereignty.
Although the VIX volatility index remains near historical averages, the analysis warns that low volatility does not equate to low risk. Ongoing global supply chain restructuring, defense spending expansions, and the contest for critical resources are continuously driving long-term inflation pressures higher.
Finally, the article points out that when capital becomes overly concentrated in a few "strategic lanes," any future shocks triggered by valuation corrections, once decoupled from fundamentals, may even surpass the impacts of geopolitical conflicts themselves.
