Rise of the Ringgit Spurs Gold Rush
By Loshinniy Nair S. Baskaran,
Kuala Lumpur, 15th August – As the Malaysian ringgit has recently strengthened, the price of gold has dropped significantly, from RM380 to RM340 per gramme. This decrease has prompted many people to buy gold jewelry, seeing it as a chance to secure profits. Despite the surge in demand, shop owners are cautious, offering to buy back gold at prices about 20% lower than the market value to protect against potential losses.
Earlier this year, gold transactions were particularly high, but the pace of buying has slowed down somewhat. Nevertheless, many Malaysians still view gold as a safe investment, especially in the long term. Historically, gold has shown a tendency to increase in value over time, making it an attractive option for those looking to secure their wealth.
Experts suggest that while the current lower prices might encourage quick sales for immediate profits, holding onto gold for a longer period could be more beneficial. This is because gold’s value typically rises over time, despite short-term fluctuations.
In conclusion, the strengthening of the ringgit has triggered a “gold rush” in Malaysia, with many taking this opportunity to invest in gold. Whether for short-term gains or long-term security, gold continues to be a popular investment choice among Malaysians during this period of economic change, as stated in the Star.
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