American Fortune Life

After hanging up the phone, Paulson pinched the bridge of his nose, picked up a document on the table in front of him with a frown, and checked it carefully again. This is a comprehensive plan to help financial institutions divest non-performing assets.

In a moment he will be heading to the White House with Bernanke for a meeting of the President's Task Force on Financial Markets. It was the second time in three days that they met with the president and asked for his support for radical and unprecedented intervention in the U.S. financial system.

The government steps in and buys the toxic assets directly from the bondholders so their balance sheets get back on track and credit rollovers are maintained!

The cost of 500 billion U.S. dollars is only an estimate. Looking at the figures given by his subordinates, Paulson has a wry smile on his face at this moment, and his heart is extremely helpless. It is conceivable that when he put this plan When it is submitted to Congress for discussion and approval, the group of elders in Congress will definitely drown him with spit. . . . . .

Wall Street, which has been hit by financial waves, now adheres to the golden principle of "no news is good news". The news that Secretary of the Treasury Paulson intends to establish an institution similar to a trust company to pay for the bad debts of financial institutions was spread by interested people almost immediately after the meeting. Immediately afterwards, the three major U.S. stock indexes rebounded sharply.

When Andy, who was flying in the sky while sitting in the air palace, received the details of the meeting of the White House Financial Market Working Group, he guessed that this would happen. For a big short like him, the stock market soared, no doubt he didn't want to see it. He made less money, and it would be a ghost to be happy.

But the bear market is like this, and it is particularly sensitive to news. If this sensitivity is measured on a scale of "one to ten", then the sensitivity of this report is thirteen. But once it is confirmed that it is only a rumor tomorrow, the stock market will definitely turn around and fall.

In the current state of the economy, those affected by the subprime mortgage crisis are happy to see the government finally willing to foot the bill. Those investors are looking forward to the government's strong intervention to help financial institutions divest mortgage loan debt, so that they can recover some losses.

In Andy's view, in a sense, government behavior, whether it is the US Treasury, the Federal Reserve or the US Securities and Exchange Commission, can only slow down the pace of the trend. Whether it is a crazy rise or a desperate fall, they All you can do is delay, not stop!

They themselves know this better than anyone else. To be honest, among the few forces that first discovered the subprime mortgage crisis, the Federal Reserve is definitely the one who knows the real inside story, but they have no way to stop it, let alone lift the lid directly. Instead, they continue to use interest rate cuts and dollar depreciation to release pressure.

Whether it is 500 billion or 700 billion, they are all sandbags. Is it useful to rely on how many sandbags to block rivers and burst embankments?

Oh, that's called nonsense!

No bank in the world has the ability to repay all deposits in full. They are nothing more than taking 10,000 yuan to do 200,000 yuan. This is a reliable traditional bank.

As for the group of people on Wall Street, they are doing 1 trillion with 10 billion. The purpose?

It couldn't be clearer, make money!

Make quick money, make big money, make all the prey money you can get right now!

cost? Ghosts will care, that's something to talk about when the storm comes!

Therefore, in the face of stormy waves, confidence! Only the recovery of confidence can really curb the galactic spiral of capital market recession, otherwise, from sitting in a Rolls Royce to the Federal Reserve meeting to queuing up in the street to receive relief food, it will only be one night!

As many people attribute it to the abuse of financial leverage, if you give up, you can avoid another financial crisis. The question is, can you give up?

That's even more of a joke, because as far as the modern world is concerned, it is impossible to give up. Today, when the capital utilization rate of the carriage is already high, any form of braking may cause overturning and rollover!

Before the Fannie Mae and Freddie Mac incidents, the U.S. Treasury Department and the Federal Reserve had discussed the bubble in the U.S. real estate market, but what they all thought at the time was a soft landing!

Ok,

It now appears that it did land, but face down!

Thinking of the current global stock market that is wailing everywhere, Andy also feels a lot of emotion. As ordinary investors, to be honest, they are definitely in a weak position in the capital market. nonsense!

Most of the so-called acquisition of wealth is a dream or "temporary acquisition and instant flight"! As long as you don't all quit, you will never be a winner!

Money, like a trickle, flows from the hands of every wage earner through the complex framework of financial theory, layer by layer, step by step, and finally the money flows into the "pocket"—their pocket.

Well, for the current Andy, there is no doubt that there is a hint of crocodile tears in having such compassionate thoughts. However, this is the truth, although it is a bit cruel.

He couldn't help laughing at himself, and turned his attention to the latest issue of "Forbes" on the table, which published "America's Richest List". Bill Gates, the founder of Microsoft, defeated Warren Buffett, the "stock god" with US$100 million, and regained the throne of the richest man.

When calculating the net worth of the billionaires this time, the daily stock price is used. After all, the stock market has been turbulent recently, and the assets of some wealthy people have shrunk very seriously.

Buffett, chairman of Berkshire Hathaway, ranks second with $50 billion in assets. Oracle founder Lawrence Ellison ranks fourth with a fortune of $27 billion.

In March this year, Buffett replaced Gates as the world's new richest man with a personal wealth of US$62 billion.

But since the beginning of the month, the stock price of Berkshire Hathaway he holds has dropped by 10%, and his assets have shrunk by 12 billion US dollars. It can be said that the liver of the loss is trembling.

As for Andy, tsk tsk, crazily ranked third with 32 billion US dollars, but the skyrocketing assets of 11 billion US dollars is not the most eye-catching, what makes everyone admire is the last paragraph of "Forbes" comments.

"The rich are not getting richer, which means economic stagnation. Of course, Andy Smith is naturally not included. None of his companies are listed. Once listed, Andy Smith's personal wealth will swell to an amazing level .”

Although this is only a provisional list of American wealth, the influence of "Forbes" is unquestionable. Even Bill Gates, who ranks first, and Buffett, who ranks second, cannot avoid asset damage, let alone those There are 126 losers in the rich list whose assets have shrunk severely.

Among them, gambling tycoon Sheldon Adelson's assets dropped sharply by US$13 billion within seven months due to the sharp drop in the stock price he held, which is equivalent to "a loss of US$10,000 per hour".

In this economic environment, after deducting debts, Andy Smith's assets can still grow at a rate of tens of billions, which is simply blinding everyone's eyes.

Not to mention his cash growth, just talking about the Tottenham club in the Premier League. With the acquisition of Manchester City, a series of money-spending behaviors by the desert tyrants, the most direct effect is to make the valuation of every team in the Premier League have a huge increase again. promote.

The Tesla supercar that has been offline and started to be delivered, although the initial price increase caused great dissatisfaction from the pre-order customers, but Andy gritted his teeth, preferring to refund the dissatisfied customers The policy of not losing money and making money, and ensuring the company's profit margins was indeed a bit troublesome at the beginning, but with all kinds of crazy publicity and the concept of blowing up the cowhide, the more important thing is that the sold cars can make money. Combined, the series has raised Tesla's valuation to $700 million.

Not to mention the Marvel Group, which has successfully turned around. A "Iron Man" made all the film companies thump their feet with envy and regret. Even the remake of "The Incredible Hulk" suffered a temporary loss, but after all, the global box office It was also a blockbuster summer blockbuster breaking $300 million, and naturally Marvel's valuation was raised again.