We are already off to a pretty rocky start this year, so What Is The Best Investment In 2022?
Inflation was the initial concern de jour, but this has been blown out of the water by the geopolitical movements in Ukraine that don’t yet seem to have an end in sight.
In light of these fundamental conditions, there have appeared to be three key front runners as the Best Investment in 2022.
Let’s get into them.
Don’t miss our related post 9 Recession Stocks Ready To Explode In 2022.
Oil
Not surprisingly the first asset on the list What Is The Best Investment In 2022? is Oil. Already this year, the price of Oil has skyrocketed.
While the writing was on the wall from Q3 and Q4 2021, due to the expected upward price pressure on commodities experienced by inflation, the geopolitical situation in Ukraine.
As we write about in our post Crude Oil Technical Analysis Daily, the world’s top three oil producing nations are 1) United States producing 11,307,560 35,922 barrels per day, 2) Russia producing 9,865,495 73,292 barrels per day and 3) Saudi Arabia producing (OPEC) 9,264,921 barrels per day.
At the time of writing the top two oil producers are on the cusp of being embroiled in a full scale conflict which as sent the price of oil back above the key level of $100.00 per barrel.
So what makes this asset one of the vest investments in 2022? Well, despite the headline grabbing influence of Russia and the conflict, the pre-existing pressures of inflation are likely to endure well into the future after the conflict has ended.
For more on the effects of Inflation check out our related post What Is Inflation? [And Why You Should Care].
Bitcoin
Already hailed as being Digital Gold, Bitcoin is fast becoming the asset of choice in 2022 which places it firmly on this list of What Is The Best Investment In 2022? Interestingly, this asset that, was met with such skepticism and dubiousness only a decade ago, is now being presented with the market conditions to prove itself as being both a hedge against inflation and a safe haven asset.
Much in the same way as oil above, Bitcoin is is establishing itself as having the qualities more similarly related to a commodity and not as a currency.
As we wrote in our related post, Is Bitcoin A Good Investment 2022?, anonymous Bitcoin analyst has pointed out that instead of the value of Bitcoin falling when interest rates rise, we are seeing an opposite effect which is a quality of the commodity market.
USD
It is economics 101 that in times of inflation central banks raise interest rates and when interest rates rise a currency appreciated, relative to the risk rating of that currencies economy. Thus, the greenback is definitely taking out the pole position on the lise What Is The Best Investment In 2022?
For more on forex fundamental indicators check out our related post 10 Best Economic Indicators For Fundamental Analysis Forex.
Unlike the above two assets, the USD can be traded in a variety of ways, all of which have their individual attributes depending on the currency USD is crossed with. In order to invest in dollars, you can buy relative to other currencies.
For more on currencies, check out our related post Forex Technical Analysis Daily which will assess the daily position of EUR/USD, GBP/USD, USD/JPY and AUD/USD.
We hope you have enjoyed this article on What Is The Best Investment In 2022? As always, if you have any questions, we would love to hear from you in the comments box below. Happy trading!
