'Fast Money' traders talk how to invest as tensions in the Middle East ramp up

Market Impact of Geopolitical Events - Oil price spikes due to geopolitical events are typically short-lived, unless a major disruption like the closure of the Straits of Hormuz occurs [2] - Protracted geopolitical conflicts could lead to lower yields due to a flight to quality and a stronger dollar, but are generally not market-friendly [3] - A "flight to safety" is more accurate than a "flight to quality" in the current environment, with US Treasuries and the US dollar being the beneficiaries [4] - Market participants were previously concerned about a weak dollar and higher 10-year yields [5] Investment Opportunities - Past geopolitical events have often presented buying opportunities, depending on the market discount offered [6] - The current situation is viewed as a potential buying opportunity, barring a major escalation like World War II [6] - Companies involved in drone warfare and arsenal buildup, such as Northrup Grumman (NOC) and Kratos, may present investment opportunities [7][8] - The market dip is considered a buying opportunity [10][11] Market Indicators - The 10-year yield has decreased from 445 basis points to 433 basis points [5] - The VIX is not expected to remain at its current level of 21, and is likely to either increase significantly or gradually decline [10] - The dollar has only increased by a small amount over the last few trading days [5]