U.S. markets have seen their biggest gains so far in 2012 since 1997, despite ongoing jitters from Europe.
This chart from Morgan Stanley’s Global Strategy Team gives us a pretty good idea why that is.
Check out how just how small the exchange of goods is between the two; exports total less than 2% of U.S. GDP. This is particularly notable in comparison to the exposure emerging markets have to falling European trade.
While that (and financial linkages) could threaten some collateral damage to the U.S. economy, the scale of the impact will likely be relatively small.