(This is a summary of key money transfer discussions on CNBC’s “Worldwide Exchange,” available to Pro subscribers only. Worldwide Exchange airs daily at 5 a.m. ET.) trying to digest market risks in disputes. Iran. One policy expert says the Middle East, along with tensions in Ukraine and the South China Sea, form the biggest overall geopolitical risk for investors in the past 50 years. Worldwide Exchange Word of the Day: Income Simeon Heyman of ProShares Advisors says investors are looking forward to rising geopolitical tensions, U.S. port strikes and Friday’s jobs report that could move markets. said people should turn to bonds for reliable income. “There is enough yield in the bond market to provide relief if geopolitical tensions worsen,” Hyman said on World Exchange. Geopolitical risk Pangea Policy’s Terry Haines said investors were witnessing the riskiest geopolitical environment in 50 years and ignoring it could be dangerous. Haines said the escalating conflict between Israel and Iran, the war in Ukraine and tensions in the South China Sea were not fully priced into the market. “The worst that can happen has increased significantly in recent weeks,” Haynes said. “Investors are not focused on the possibility that the U.S. could replenish its defense inventory and increase its capabilities after the election.” Defense stocks against the backdrop of Middle East tensions between Israel and Iran Lockheed Martin (LMT), Raytheon (RTX), and L3Harris (LHX) rose this week. Worldwide Exchange Picks: Biotech Stocks Scott Radner of Horizon Investments sees opportunity in the biotech sector, specifically the iShares Biotech ETF (IBB) and SPDR S&P Biotech (XBI) ETF I think there is. For now, he sees the field as another way to bet on innovation in artificial intelligence, but he’s watching the economy closely. Both ETFs have been trading lower since the Fed’s half-point rate cut, and Ladner believes further aggressive rate cuts would actually be negative for rate-sensitive sectors. “The reason I like biotech and health care has to do with AI,” Radner told Worldwide Exchange, adding, “The economy is too slow and too weak to get to 50 (basis point reductions). The important question is why.” There’s probably a problem. ” Today’s Chart: Shipping Stocks Shipping stocks actually outperformed as the longshoremen’s strike enters its second day and disrupts ports in the eastern United States and the Gulf Coast. Investors appear to be betting that these companies will benefit from disruptions to normal supply routes and be able to charge higher prices as retailers look to move goods in other ways.