The relationship of economic variable and gold price in Malaysia / Nurul Syafiqa Norhisham

The purpose of this study is to examine the relationship between economic variables such as interest rates, exchange rates, inflation rates, and the price of crude palm oil in Malaysia and the price of gold. Secondary data from the Statista, previous research and World Development Index are used in this study as proxies for macroeconomic stability, such as the real interest rate, the exchange rate, and the inflation rate, among other variables. The researchers will evaluate the data from 1990 to 2020, which spans a period of thirty years and will employ the Least Square Method to do so (E-Views). The price of gold fluctuates up and down throughout time, much like the price of any other financial instruments or commodities. It is hard to refute that the gold price is stable and that it fluctuates only minimally in response to the volatility of the economic and financial conditions. In Malaysia, the public and investors have been more aware of the issue in recent years. After some time, they began to see the benefits of participating in the gold trading market. People will need to be aware of the current gold price to take advantage of opportunities to purchase gold at a reduced cost.

Keywords: Gold price (GP), Interest Rate (IR), Inflation Rate (INF), Exchange Rate
(ER) and Crude Palm Oil Price (CPO)