Safe-haven assets（GLD） are flowing into the market?

On March 9, 2020, the US Dow Jones Index plunged more than 2,000 points, the U.S. stock market crashed, the investment market was full of fear, and market funds flowed into those safe-haven assets? With the spread of the epidemic, the market's risk aversion has continued to increase, and the stock market has continued to fall. As an investor, to reduce investment risks, you must buy safe-haven assets, reduce the purchase or sale of assets in the stock market, and avoid a sharp decline in the stock market, which will cause serious losses.

When market risks continue to increase, investors will continue to buy safe-haven assets. Investors should pay attention to the following several safe-haven assets and use them as safe-havens.

Dow Jones Index

The first safe-haven asset is gold. Gold（GLD）, as a traditional anti-inflation commodity, has always been the preferred safe-haven asset for investors.

GLD

The second safe-haven asset is the Japanese yen. Because the Japanese yen is a low-interest currency, the market economy situation is good, and the investment sentiment is optimistic. Investors will borrow the yen and then invest in high-interest assets or invest in high-risk high-return Activities, funds flow out of the yen. When the market economy worsens, investment sentiment is panic, and investors no longer carry out high-risk investment activities, they will repay the yen and capital flows into the yen.

USD/JPY

The third safe-haven asset is the Swiss franc, which is also a low-interest currency. The situation of the Swiss franc is similar to that of the Japanese yen. Switzerland is a rich and stable country, so the Swiss franc is a traditional safe-haven asset.

USD/CHF

The fourth safe-haven asset is U.S. bonds. The U.S. is the world's most powerful economy. The U.S. economy has been developing steadily. As long as investors hold U.S. Treasury bonds, they will obtain stable investment returns.

BOND

The fifth safe-haven asset is the US dollar, which, as a global settlement currency, is hard currency. When the economic crisis comes, investors will also choose to hold USD as a safe-haven asset.

DXY

The above several safe-haven assets are the market's economic recession, market sentiment panic, and capital inflows. When the prices of several safe-haven assets continue to rise, it means that the stock market has entered a bear market. Investors should avoid excessive investment activities, reduce investment risks, and choose lower-risk safe-haven assets.

Comments

Moderna stock forecast 2025： MRNA is worth buying for 5 reasons

Moderna was founded in 2009 and was established in Cambridge, Massachusetts, USA. Its main business is genetic engineering and focuses on the research and development of mRNA-derived drugs. The full name of mRNA is messenger RNA, pre-messenger RNA, a kind of immature single-stranded messenger ribonucleic acid, once it is completely processed, it is called "mature messenger RNA", or "mRNA". These drugs use mRNA as a treatment method and use mRNA as the basis to inject the developed synthetic mRNA into the patient's body so that the patient's own cells can obtain the ability to treat themselves. At present, the new crown vaccine being researched and developed by Moderna has an effective rate of 94.5%, so it has become one of the vaccines that are sold in large quantities all over the world. Cambridge, Massachusetts, is not only home to Harvard University but also a world-renowned hot spot for modern biomedicine. Despite such a "gorgeous background", ...

NIO vs LI vs XPEV stock： Q1 financial report analysis

Q1 financial report analysis： NIO vs LI vs XPEV stock In the financial report, the most striking thing is the delivery volume. Comprehensive data shows that the NIO Q1 delivery volume exceeded 20,000 for the first time and continued to lead. Beginning in 2021, NIO set a record of 20,060 deliveries in the first quarter, an increase of 422.7% year-on-year. All aspects of XPEV can be described as "stable". The delivery of LI decreased by 13.03% month-on-month, making it the only company among the top three automakers that had a negative growth rate from the previous month. At the same time, the financial report showed that after achieving profit in the previous quarter, LI Q1 turned into a loss. The net loss reached 360 million yuan, an increase of 366.9% year-on-year. It is not difficult to see that the gap between LI Auto and the other two companies has not narrowed. At the same time, in the car-making boom, the market's v...

C3.ai stock forecast 2025: Is it time to buy now?

Few emerging technologies are as exciting as artificial intelligence. We have witnessed its ability to be applied in new ways, from quickly analyzing large amounts of data to improve the efficiency of hardware and software. C3.ai(AI) is one of the only companies in the world that develop artificial intelligence into independent services. In short, artificial intelligence is its entire business. Investors avoided such stocks this year because large technology companies began to engage in artificial intelligence projects, raising concerns about increased competitive threats. However, C3.ai continued to increase revenue, narrowed its losses, and added 82% of its customers in the fourth quarter of fiscal 2021. Therefore, the stock price has fallen about 60% so far this year, which may be a huge opportunity for those who want to get involved in this field. A unique business case Imagine that if a company needs to develop its own artificial intelligence, sim...

FinanceLinkway

Search This Blog