⚔ Geopolitics risk-off · 0–6 months
A what‑if from the future

What if a chip-grade neon gas shortage halts lithography?

Loss of Ukrainian/Russian neon, krypton and xenon hits lithography gases, so the clean chain is TSMC and fabless leaders (Nvidia) down on a fab-input chokepoint, with ASML dragged on the litho read. Direct analogue is the 2022 invasion neon scare, which spiked spot neon multi-fold but fabs had buffered inventory and qualified new sources. Ukraine historically supplied ~half of semiconductor-grade neon; fabs since diversified to US/Korea/China gas. Forward angle: post-2022 inventory builds and alternative suppliers make this far less acute than the cascade implies — fade the semis dip.

7%
our model probability
over 0–6 months
prediction markets — wisdom of the crowd
loading live odds…
Empirically anchored 7% · 90% range 0–16% · 40 analogues · measured class supply_chain 10% in 6 mo · 3% held back for the unknown
how we built this number — every step
Measured class rate — supply_chain ≈0.2052/yr → 10% in 6 mo10%
Analyst prior · editorial share 72% of the class7%
Pooled · weight 87%7%
Crowd — no liquid market
Reserve 3% · no extremizing (×1.0)7%
Published7%

The class rate is measured from our dated, sourced event library (decade-normalized Poisson — the full table is public at base_rates.json). The variant’s share within its class is the analyst’s editorial call, published so you can audit it. A wider range means thinner precedent. Full recipe: methodology · scored at Reality Check.

The butterfly cascade

How this trigger trickles across markets, left → right — the root shock, its first‑order moves, then the ripple effects. Drag any node; tap a market for its real price history.

Resolution timeline — how this probability is moving

Our model's odds (gold) over time vs the crowd's (Polymarket, blue), from the past toward the 0–6 months horizon. Each dot is a real macro event that nudged the probability — green pushed it up, red pushed it down. Tap a dot for the source. The gold path is an illustrative reconstruction anchored to today's estimate — real dated events, not a live re-estimate history.

loading the timeline…

What it would mean

If this plays out, it is a risk-off shock. Loss of Ukrainian and Russian neon, krypton, and xenon halts semiconductor lithography worldwide. The trigger decomposes into signed root‑shocks — Geopolitical risk ▲ · Semiconductor supply risk ▲ — which propagate through our causal graph to the markets below.

If it happens — the markets it would move

Biggest moves first. Projected moves are cascade-model priors; hist A–B% = what comparable past events actually did (measured abnormal returns), and model prior · unmeasured marks markets with no analogue backing yet. Tap any market for its price history.

MarketClassProjected move
1Volatility (VIX) VIXon Hyperliquid 📈 chartVol▲ +3.7%
hist -0.79–+8.41% · other way -2.31% (n=12)
2TSMC TSMon Hyperliquid 📈 chartEquity▼ -2.6%
hist -3.09–-0.16% · other way +1.64% (n=12)
3Nvidia NVDAon Hyperliquid 📈 chartEquity▼ -2.1%
hist -2.0–-0.3% · other way +4.13% (n=12)
4Semiconductors SMHon Hyperliquid 📈 chartEquity▼ -1.6%
hist -1.01–-0.38% · other way +1.4% (n=12)
5ASML ASMLon Hyperliquid 📈 chartEquity▼ -1.5%
hist -3.75–+0.85% · other way -0.91% (n=12)
6Nasdaq 100 NDXon Hyperliquid 📈 chartIndex▼ -1.4%
hist -1.04–-0.23% · other way -0.05% (n=12)
7AMD AMDon Hyperliquid 📈 chartEquity▼ -1.1%
hist -0.75–-0.25% · other way -2.72% (n=12)
8Broadcom AVGOon Hyperliquid 📈 chartEquity▼ -1.1%
hist -1.3–+1.88% · other way +5.76% (n=12)
9Micron MUon Hyperliquid 📈 chartEquity▼ -1.1%
hist -3.66–+0.73% · other way -1.7% (n=12)
10Marvell MRVLon Hyperliquid 📈 chartEquity▼ -1.1%
hist -0.83–-0.03% · other way -0.28% (n=12)
11Tech sector XLK 📈 chartEquity▼ -0.9%
hist -0.62–-0.17% · other way +0.37% (n=12)
12Qualcomm QCOMon Hyperliquid 📈 chartEquity▼ -0.8%
hist -2.74–+0.69% · other way -3.2% (n=12)
13S&P 500 SPXon Hyperliquid 📈 chartIndex▼ -0.7%
hist -1.58–+0.29% · other way +1.35% (n=12)
14Intel INTCon Hyperliquid 📈 chartEquity▼ -0.6%
hist -3.34–+0.9% · other way -2.6% (n=12)

Probable recommendation

If the scenario above plays out, the probable cross‑asset positioning → a scenario‑conditional read, not personalized investment advice
Cash / hedgeRaise cash and hold the long hedges above; this scenario is net risk-off.
For a common-man portfolio: A typical stock-heavy portfolio is at risk. Consider trimming equities, raising cash, and a small gold hedge.
Also moves (not yet on Hyperliquid): Tech sector -0.9% · High-yield credit -0.4% · Lockheed +0.3% · Northrop +0.2% · Financials -0.2% · JPMorgan -0.2%

Why we may diverge from history

Trust history on JPM (+3.8%, hit-rate 0.92, n=12, clean recent bank-channel analogues) — the cascade's neon-to-banks path is weak and over-reaching; but fade MSTR's +11%, which is pure BTC-bull regime contamination.

Historical precedent — what analogous events actually did

Across 40 analogous events (overlap‑weighted), as abnormal returns — market beta stripped, so it's the event's own effect, not the market backdrop. Shown at 20 days (persistent) and 5 days (immediate); ↺ fades = the two horizons disagree. Confidence = consistency × sample × significance.

Israel strikes Iran — Operation Rising Lion 2025-06 China retaliates to Liberation Day: 34% tariffs + rare-earth controls 2025-04 Gold tops $3,000 for the first time amid tariff and rate-cut fears 2025-03 TSMC slumps as DeepSeek roils AI-chip demand assumptions 2025-02 Micron's weak FQ2 guidance sparks a sharp December selloff 2024-12 ASML bookings-miss crash 2024-10 October 2024 Iranian ballistic-missile attack on Israel 2024-10 Megacap AI-capex doubt selloff 2024-07 Trump 'Taiwan should pay for defense' chip selloff 2024-07 Wagner Group mutiny against the Kremlin 2023-06 Netflix subscriber-loss crash 2022-04 Meta 2022-02 Didi removed from China app stores after NYSE IPO 2021-07 Saudi-Russia oil price war 2020-03 Chinese yuan breaks 7 per dollar; US names China manipulator 2019-08 Huawei added to Entity List + ICT executive order 2019-05 Nvidia crypto-glut guidance crash 2018-11 North Korea sixth nuclear test 2017-09 North Korea 'fire and fury' nuclear scare 2017-08 OPEC abandons output defense, opting for market share vs US shale 2014-11 Egyptian revolution / Mubarak uprising 2011-01 US airline stocks plunge ~40% on first trading day after 9/11 2001-09 Hong Kong defends the peg with sky-high HIBOR 1997-10 Soviet August coup attempt against Gorbachev 1991-08 Tiananmen Square crackdown 1989-06 1986 oil price collapse 1986-02 Reagan assassination attempt 1981-03 Gold peaks at $850 1980-01 Iran hostage crisis / US freezes Iranian assets 1979-11 JFK assassination 1963-11 Cuban Missile Crisis 1962-10 Korean War begins 1950-06 Smoot-Hawley clears the US House 1929-05 Gold tops $4,000 and silver spikes past $50 in historic squeeze 2025-10 US-China extend tariff truce by another 90 days 2025-08 US and China agree Geneva tariff truce, slashing rates 2025-05 Operation Sindoor: India strikes Pakistan after Pahalgam attack 2025-05 Tesla shares crater on DOGE political backlash and Europe sales collapse 2025-03 South Korea martial law crisis 2024-12 Hezbollah pager and device explosions across Lebanon 2024-09
AssetHistory saysAbnormal (20d · 5d)HitnConfidencevs cascade
ETH ETHSHORT-7.7% · 5d -4.8%76%24 0.37✓ matches cascade
Bitcoin BTCSHORT-5.2% · 5d -3.1%68%27 0.28✓ matches cascade
Volatility VIXLONG+6.0% · 5d +4.0%65%31 0.27✓ matches cascade
NDX NDXSHORT-0.4% · 5d -1.2%68%33 0.26✓ matches cascade
SOL SOLSHORT-6.7% · 5d -6.8%70%20 0.26✓ matches cascade
MU MUSHORT-2.9% · 5d -3.4%61%33 0.18✓ matches cascade
AMD AMDSHORT-0.2% · 5d -1.7%61%34 0.17✓ matches cascade
INTC INTCSHORT-2.8% · 5d -1.7%59%34 0.17✓ matches cascade
Gold XAULONG+1.1% · 5d -0.6% ↺ fades61%29 0.17✓ matches cascade
NVDA NVDASHORT-0.9% · 5d -3.7%61%29 0.15✓ matches cascade
AVGO AVGOLONG+2.3% · 5d -2.0% ↺ fades57%28 0.14⚠ differs
TSM TSMSHORT-1.6% · 5d -2.3%58%30 0.13✓ matches cascade
LMT LMTLONG+3.0% · 5d +0.7%57%36 0.12✓ matches cascade
JPM JPMLONG+0.6% · 5d -0.1% ↺ fades57%34 0.11⚠ differs

Why this probability

Neon supply diversified since 2022; a worldwide lithography halt is now a low-probability tail. A base‑rate‑anchored prior, continuously scored against what actually happens — not a forecast.

Methodology. Probability and impact are anchored to history and scored against what actually happens — wins and losses, in public, at Reality Check. Crowd odds live from Polymarket & Kalshi. By Vikas Singh, Quantitative Strategist. Updated 2026-07-03.