Investors Opt for Gold and Other Precious Metals
By Saghir A. Aslam
Rawalpindi, Pakistan
(The following information is provided solely to educate the Muslim community about investing and financial planning. It is hoped that the Ummah will benefit from this effort through greater financial empowerment, enabling the community to live in security and dignity and fulfill their religious and moral obligations towards charitable activities)
With high inflation and other precious metals such as platinum, copper, etc. gold is emerging as the top safe-haven asset for investors looking to protect their savings. These assets are gaining popularity amidst the deepening economic crisis.
Gold commodities would be the most preferred assets in the eyes of investors. The government’s individuals with savings are carefully evaluating which assets will offer the highest return on investment.
Consequently, gold has emerged as an attractive investment option, gold provided the highest return on vestment, with a remarkable % increase. Gold's appeal stems from its ability to protect against currency devaluation and its potential for price appreciation in international markets especially hid a possible recession and a shift towards de-dollar-don of international trade.
If global gold prices also rise simultaneously the bullion market would experience significant growth.
In recent days, the price of gold dropped and some people who had stockpiled gold are now releasing their supplies, likely aiming to book profits and potentially waiting for a correction in gold prices before re-purchasing the commodity.
The Pakistan Stock Market is poised to soar by gal 7,000-8,000 points. Over the past four to five years, mounting selling pressure has led to a significant decline in stock, prices, making the market highly inexpensive. Market analysts suggest that the price-to-earnings ratio at the Pakistan Stock Exchange (PSX) has dropped to three, compared to the previous range of 7 to 8 multiples. A normal market should operate at a price-to-earnings in ratio of around 10.
On Friday, the PSX benchmark KSE 100-Index rose by 0.21%, or 86 points, to reach 41,353 points. It is worth noting that the index reached an all-time high of around 57,000 points. To be continued.
(Saghir A. Aslam only explains strategies and formulas that he has been using. He is merely providing information, and NO ADVICE is given. Mr Aslam does not endorse or recommend any broker, brokerage firm, or any investment at all, nor does he suggest that anyone will earn a profit when or if they purchase stocks, bonds, or any other investments. All stocks or investment
vehicles mentioned are for illustrative purposes only. Mr Aslam is not an attorney, accountant,
real estate broker, stockbroker, investment advisor, or certified financial planner. Mr Aslam does not have anything for sale.)
