Effect of intramolecular hydrogen bonding on the stability of a molecule

What will be the effects of intramolecular hydrogen bonding on the stability of a molecule? Will it increase or decrease the overall stability of a molecule? Or will it not have any impact on the stability?


Why do I think intramolecular hydrogen bonding increases the stability?  

I've learn that formation of a bond lowers the energy or increases the stability of a molecule. Thus, formation of intramolecular hydrogen bond makes the molecule more stable.


Why do I think intramolecular hydrogen bonding decreases the stability?  

Let us consider the following molecule:


![enter image description here](https://i.stack.imgur.com/5ElrDm.png)


Intramolecular hydrogen bonding exists between oxygen atom of the carbonyl group and hydrogen atom of the hydroxyl group. Due to the hydrogen bond, these oxygen and hydrogen atoms are under attractive forces. I think this causes strain in the molecule, thereby increasing the energy or decreasing the stability of the molecule.


However, I don't know which of the above two arguments is correct. It would be helpful if you could explain the effects of intramolecular hydrogen bonding on the stability and the appropriate reason behind it. 


