Way too much is happening worldwide in terms of geopolitics not to have an effect on global stock markets. While the world's largest democracy, India, just concluded its general elections - where the incumbent party returned to power with a reduced majority - France's surprise declaration of a snap election has raised uncertainties further in Europe, which has already been reeling from the Russia-Ukraine war, as well as the impending British elections.
Add to this the ongoing Israel-Hamas conflict, where a ceasefire agreement has yet to be accepted, and it becomes a heady cocktail of geopolitical overhang for market participants to navigate. Given this degree of uncertainty, investors who aren't positioned or hedged correctly risk tumbling down a slippery slope of heavy losses as stocks swing wildly in response to headlines.
