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After it was done, Shen Daoru looked proud and said, "Turn on the stove and make sure it doesn't make any noise even if the house is on fire. We want to have a good meal and have to play like this. If this thing starts to sound and the fire truck comes in, poor Students cannot afford to pay fines. Compared to the UK, where fines are all that matters, the US is more ruthless. A classmate of mine went to school in Atlanta and rented a house outside for the second year. The fire alarm came three times in one month, and he didn’t even understand the situation. , but the result is a pile of bills, and you have to pay for the police."

Li He laughed loudly, but Ding Shiping didn't understand the situation yet and asked, "You mean the fire department has to charge money to put out the fire?"

He felt a little weird.

Ding Shiping said, "What do you think?"

"Evil nature," Ding Shiping scratched his head and stopped asking. He turned on the stove, put a pot full of water on it, and stuffed the duck into it. "This old duck is so stuffy and delicious."

Shen Daoru also took the initiative to cut broccoli aside.

When Li He saw Guo Dongyun standing in the backyard talking on the phone, he went over and asked, "Don't you have a banquet tonight? Just leave first, and we can eat by ourselves after we finish it."

Guo Dongyun has become famous internationally and has been recognized by Downing Street since he helped the Bank of England block the American consortium headed by Soros Quantum Fund.

More importantly, Downing Street hopes that Guo Dongyun can keep the funds from Hong Kong's Silver Island trade in the UK, which is nearly 40 billion U.S. dollars, which will completely help stabilize the pound exchange rate.

Unlike Li He who speculated in the name of Goldman Sachs several times before, this time Guo Dongyun directly revealed his identity as a former director of Goldman Sachs to confront Soros, gaining a lot of friendship and naturally full of hatred.

In the spring of 1992, one and a half years after the United Kingdom joined the European Exchange Rate Mechanism, serious problems arose in the fixed exchange rate situation under this system. Although it presented a positive and optimistic image, the British financial department realized that the pound exchange rate compared with the German mark There are cases of "mispricing".

What kept the pound from falling was the guarantee from the British government that it was committed to maintaining the pound's exchange rate, and the market believed it. As long as everyone believes that the British authorities will buy pounds around the 2.95 mark, the current situation can continue to exist.

But Soros did not believe in the British government's guarantee. He was confident but only invested a small position. This was unreasonable.

Since August of that year, Soros's Quantum Fund established a short position in the pound worth 1.5 billion pounds. He utilized the margin to the extreme, using 20 times leverage to make a small gain.

German Central Bank President Schlesinger gave a speech on September 16, saying that even after the European exchange rate mechanism is reconfigured and Germany cuts interest rates, 1-2 currencies may still be under pressure before the comprehensive referendum in France. He acknowledged in the interview that the actions taken certainly did not fully resolve the problem.

This seemingly innocuous indirect quote caused disaster for the Bank of England. The market no longer trusted the Bank of England's ability to maintain the pound's exchange rate. It was this "trust" that ensured the pound's previously unseen decline.

The day after Bundesbank President Schlesinger spoke, Soros and his funds increased their short positions betting on the pound's fall, increasing the amount from the original $1.5 billion to $10 billion.

In addition to Soros, they include Bruce Kovner of Caxton \u0026 Co. and Paul Tudor Jones of Jones Investments.

Tudor Jones was the biggest winner in the U.S. stock market crash, other than Li He and his Goldman Sachs.

On this day, the total position size bet by Soros and his followers reached almost 20 billion U.S. dollars. Adding leverage, it is simply a very terrifying scale.

Since the opening of the London market, officials from the British Treasury have also begun to get busy. Tens of billions of pounds of selling have spewed out, and the pound exchange rate has also dangerously fallen below the bottom line of the European Exchange Rate Mechanism.

Before the exchange rate began to plummet, British Finance Minister Lamont said that he would borrow US$15 billion to defend the pound. However, in fact, the British official only bought a billion pounds of selling in the first place. This investment was unable to prevent the decline of the pound - all The world is selling off.

At 9 a.m., Finance Minister Lamont contacted British Prime Minister Major and told him that he could no longer maintain the exchange rate level. The only option before the British government was to significantly raise interest rates to attract buying again.

However, Major rejected this option. Britain was in an economic recession at the time, and raising interest rates would further plunge the economy into an abyss. This was undoubtedly political suicide.

The deal was done, and global capital continued to bet on the fall of the pound. An hour and a half later, Lamont called Major again to propose countermeasures to the crisis. Major finally couldn't hold on anymore. At 11 o'clock, the British government announced a 200 basis point interest rate hike, from 10% to 10%. raised to 12%.

During the depreciation of the pound, the British Treasury continued to use foreign exchange reserves. In order to maintain the value of the pound, the final value of the pound supported by the central bank shrank by a quarter. It is estimated that this action also cost the British taxpayer 33 billion. Pound wealth.

How will the pound react to such a huge interest rate hike?

Nothing happened and the pound continued its free fall.

At the same time, Soros's position has reached 15 billion, and together with his followers, it far exceeds the strength of the British government.

The market expects that the UK will be forced to devalue the pound, and neither raising interest rates nor selling the pound can stop the fall of the pound. Therefore, people believe that the UK will eventually withdraw from the European Exchange Rate Mechanism and the depreciation of the pound will become a self-fulfilling prophecy.

Soros is preparing for a last ditch effort, Downing Street is preparing to be forced to devalue the pound, and Lamont is even already planning to hold a new press conference and Britain throw in the towel.

The majestic empire on which the sun never sets will raise the white flag!

What a shame!

But it was precisely at this time that Guo Dongyun came on the scene with 30 billion in funds. Together with the Goldman Sachs portfolio, nearly 40 billion U.S. dollars, telling Downing Street that it would fight side by side with the pound!

The female Bodhisattva who fell from the sky!

Downing Street didn't expect that!

Soros didn't even expect that he was going to block others, but he was blocked by others halfway!

For Soros, this is an almost perfect trading strategy, with limited upside but unlimited downside for the pound.

It's like betting on heads or tails of a coin toss. If it comes to the falling side of the pound, the profit potential of the position is unlimited, but if the other side of the coin lands up, Soros won't lose much.

In doing so, Soros and his associates shorted approximately $7 billion in British pounds, bought approximately $6 billion in German marks, and bought a certain amount of French francs.

In a parallel trade, they bought up to $500 million worth of British stocks while still shorting the pound, anticipating that stocks typically rise after a currency devaluation.

Soros was also long German and French bonds and short those countries' stocks. For operations in the French and German markets, Soros's rationale was: Rising valuations are bad in stocks, but good in bonds because they lead to lower interest rates.

However, Guo Dongyun and the Goldman Sachs team inserted it too quickly, and the position was such a huge one!

Soros didn't even have enough time to escape, and lost 5.5 billion US dollars in an instant!

Faced with the increasing influx of funds, he had to react decisively and quickly retreat with sadness, along with his followers.

Guo Dongyun is completely famous!

Hong Kong Silver Island Trading is also known to global investors!

The headline in the British newspaper was a huge photo of Guo Dongyun, with the title "Amazing Thursday!"

"Black Wednesday!"

"A strong woman!"

"She fought for Britain!"

Guo Dongyun said in an interview with the media, "When I was studying in London, many people gave me enthusiastic help. I love Britain and the British people. Those who try to empty the wallets of British taxpayers will not end well. "

A Singaporean traveled thousands of miles to come to the UK for the British taxpayer’s wallet! What kind of spirit is this!

This is the spirit of internationalism, this is the spirit of communism. A person's ability may be great or small, but as long as he has this spirit, he is already a noble-minded person, a pure person, a moral person, a person who has escaped vulgar taste, a person who is useful to the people.