Geopolitical Concerns Rising, But So Has The Overall Market: Right Or Wrong?

Admittedly, that was a trading week not worth forgetting. More importantly, it was a trading week that was very concerning even as the S&P 500 finished higher by .49% for the week. The markets whipsawed back and forth between negative days and positive days. The news of the week that contributed to the action was both domestic and foreign in nature.

The failure of Italy to form a government last Sunday sent global markets into a tailspin. Italy's efforts to form a government broke down on Sunday after the president rejected a eurosceptic pick for the key economy ministry, triggering a potential constitutional crisis and opening the prospect of fresh elections. Italian bond yields skyrocketed on the news, highlighting the countries debt issues and as one of the largest global economies with extreme debt to GDP levels.