With gold being a safe haven asset, the sustainability of its rally is anyone’s guess, given the uncertainties of Coronavirus and impact negatively to the whole economy. With this, the Federal Reserve of the United States government launch of Unlimited Quantitative Easing (QE). This vital to rescue the companies now in distress, buying junk bond and etc. You will notice that the USD is going to be weak and investor is rushing for safe-haven asset – Gold and Silver.
Where to hedge this kind of crisis during the uncertainty period? Bursa stock market Malaysia offered options as part hedging basket. Volume surged up this few days as hot money is entering to safe-haven assets. Please feel free to comment below if you found any safe haven stocks besides this 3.
Stock to Watch during Crisis
BAHVEST – Operation of Gold Mining
POHKONG – Suppliers and retailers of jewelleries, precious stones and gold ornaments
TOMEI - Integrated Manufacturer and Retailer of Gold & Jewelry