Rebirth of the Financial Overlord
Chapter 515 Causality
The earth is big, but the global village is small.
The high-speed transmission of the Internet makes the whole world seem to be connected together.
Rather, there is a relationship of interdependence and mutual influence between the financial market and the operation of the economy.
The British did not ask the French to borrow money at this time. Apart from the fact that the relationship between Britain and France has not been so good, there is another very important reason, the French dare not lend money to the UK.
Because the price of the British pound is calculated according to the exchange rate of a basket of currencies, when you buy the British pound, you pay for foreign exchange, which includes German marks, French francs, U.S. dollars, etc. The lira and Spain purchased pesetas, and all the foreign currencies that were originally reserved by various countries were circulated on the market.
It has caused an unprecedented seesaw effect. How can France dare to lend money to the United Kingdom.
If they dare to borrow money, the franc will face the risk of depreciation due to the surge in circulation in the market.
Hong Kong is now facing similar problems with minor differences.
Although the Hong Kong dollar is a token of the U.S. dollar, shorting the Hong Kong dollar is equivalent to shorting the U.S. dollar, but this prerequisite is based on the issuance of Hong Kong dollars and the payment of equivalent U.S. dollars. Now the Administration of Foreign Exchange buys British pounds in the Asian market, which makes the foreign exchange reserves of the Hong Kong government At the same time, the reduction has caused the expansion of the Hong Kong dollar circulation. This kind of seesaw Hong Kong dollar is facing the risk of depreciation just like the major European currencies.
And, especially.
After all, the Hong Kong dollar is not a sovereign reputation. The value of the Hong Kong dollar is completely measured against the U.S. dollar standard. If a large number of U.S. dollars are lost, the depreciation is a matter of course.
Shen Jiannan turned around, looked at Yu Zheng who had an honest face, and a strange look flashed across his eyes.
When he pulled Yu Zheng from school to the company, he actually didn't like Yu Zheng. This guy had been in high school for six years and graduated from university when he was almost thirty. Set an ideological role model for the students, so that they can attract more people when they go back.
But in the past year or so, Yu Zheng's progress has been unimaginable, and the essence of many things can be seen directly.
Just like when it comes to establishing a short position in the Hong Kong dollar, even those old guys from London University, Harvard University or Stanford Business School who have been immersed in the economic field for many years may not be able to figure out what the relationship between the economic crisis in Europe and Hong Kong in Asia is.
But now. It's still a little too tender.
After taking out a cigarette and lighting it, Shen Jiannan put his legs up on the table, posing as a teacher. Yu Zheng looked silly, but he wasn't silly at all. Ma Liu picked up the ashtray and approached him, smiling silly, ready to listen to the instruction.
"The formation of a short position in the Hong Kong dollar is inevitable."
"Capital is chasing profits. Think about it, given the current environment in Europe, where will capital retreat?"
"Just like the actors on TV, I bet many of them are ready to transfer their assets to other regions."
"."
A gleam of understanding flashed in Yu Zheng's eyes.
Capital is in pursuit of profit, just like Finland, Italy and Spain, if it is not for the large-scale capital outflow, let alone the first capital, even a hundred first capitals will not be able to collapse the currencies of these countries.
But these capitals just flow out instead of evaporating out of thin air. When they leave Europe, they need to choose other carriers.
From the perspective of the whole world, there are not many carriers for these capital outflows to choose.
The stability of profits requires a stable political structure. The continuous war in the African continent and the lazy and aggressive nature of black people can be ruled out. The entire European economy is in turmoil, and the crisis can be seen by anyone, so it can be ruled out; then only the US market And the Asian market is the right carrier.
But the Japanese market is going down, and the Ministry of Finance's comprehensive restrictions on real estate have almost locked up the space for the securities market and the real estate market. The choice of capital in the Asian market is too limited.
"Why, are you feeling uncomfortable?"
To hell with being comfortable.
How did Hong Kong's economy develop? Yu Zheng still doesn't understand. It is completely relying on the unlimited potential of the mainland market to control the port. But now, the British don't care about it and wantonly buy pounds. It is simply naked destroy.
Don't those British people know that this will cause Hong Kong's economy to face a big crisis?
For sure.
Still don't know that if the Hong Kong dollar is attacked, Hong Kong's finance and economy will even collapse?
How could you not know.
But those bastards don't care about it at all.
Facing Shen Jiannan's ridicule, Yu Zheng nodded with a face full of resentment. In front of this teacher, he had nothing to hide.
"You have to endure the discomfort. If you were British, you would do the same."
"I'm just disgusted. They talk about human rights, democracy and freedom, but they do a lot of human affairs. Teacher, you said that we let the news out, and then took the opportunity to build a position. Can you cheat the British guys? If they continue to play like this, Hong Kong will be ruined sooner or later, why don't we make a fortune and let Hong Kong people see their faces."
"Do you have evidence?"
"There is no news from Hong Kong."
"Shady methods cannot be used as evidence. We have no way of proving how much money the SAFE has invested in the market. We can only smash our teeth and swallow it."
"Moreover, although the operation of the British has touched the fundamentals of the Hong Kong dollar, as long as it is done well, the risk of the Hong Kong dollar can be suppressed for a few more years."
"."
All of a sudden, Yu Zheng understood what Shen Jiannan meant.
According to the summary of the intelligence agencies, during this period, capital inflows into the Asian market were mainly concentrated in five regions. Apart from Thailand, Malaysia, the Philippines and Indonesia, Hong Kong was the place with the largest inflow of capital.
Just like the human body, with huge capital liquidity, all acne diseases will not break out at all for a while, and the huge liquidity can completely cover up the loss of the Hong Kong government on the pound.
"Doesn't that mean we're helping the Brits now?"
"."
Shen Jiannan was almost choked to death by Yu Zheng's guy. If it was on the original track, this matter had nothing to do with him, but looking at it now, it doesn't make sense.
Capital One cooperated with the United States to drive European capital out of Europe, and these capitals were forced to flow into Southeast Asia and Hong Kong, perfectly covering up the actions of the Hong Kong Administration of Foreign Exchange in the market.
Nima what is this called.
Shen Jiannan was completely defeated by his own logic, and in a fit of anger, he kicked Yu's right leg mercilessly.
"It's just you who talk too much. Go tell William, let him continue to add space for me, and don't break the Bank of England before nine o'clock, and go naked on the street."
"hey-hey."
You'll Also Like
-
Time Space: The Rough Man’s Sick Beauty Turned Wild
Chapter 1150 22 hours ago -
My cultivation increased my power ten thousand times, and I became the nightmare of all races!
Chapter 1099 1 days ago -
Unlimited additional gold items for each type of soldier, what's wrong with being invincible?
Chapter 127 1 days ago -
The villain's younger brother: Start by deceiving the sister-in-law
Chapter 164 1 days ago -
Naruto from the beginning six eyes to cultivate Lin
Chapter 212 1 days ago -
Fantasy, I suddenly realized the chaos body
Chapter 1440 1 days ago -
You are as rustic as the wind and as beautiful as the flowers
Chapter 304 1 days ago -
Ancestor, stop being stubborn, the universe is going to disappear.
Chapter 782 1 days ago -
The start was really bankrupt and I was kicked out of the family group
Chapter 197 1 days ago -
Slay demons and gain sixty years of skill at the beginning
Chapter 1059 1 days ago