Holy Roman Empire

If the Paris government really implements financial controls, it will actually help us a lot.Prussia is a ready-made example, and the value of the mark has completely collapsed.

Maybe we will lose money in this speculation, but the franc will withdraw from the international market, and this part of the share will be enough to make up for our loss. "

For currency hegemony, Britain, France and Austria have been fighting for several years.Although France is out, the franc still holds a significant share of the international market.

In the gold standard era, the larger the economy, the greater the demand for gold.

France has a large economy, but its gold production is very limited, unable to meet the growing demand. The reserves for issuing francs have always been insufficient, and there are security risks in the financial market.

In recent years, international hot money has frequently visited.It's just that the scale is not very large, even if there are some gains, it will not be able to shake the status of the French franc.

The benefits are touching, and after speculators have tasted the sweetness, they naturally want to earn greater benefits.

The joint venture of Anglo-Austrian Capital this time seems to be Franz's secret promotion, but in fact it is just an introduction.Even if there is no such introduction, it will happen sooner or later.

Of course, this introduction is still very important. Without the participation of the government, even if the capitalists took action, they would not have such a large scale.

Essentially speaking, the French were suppressed by Britain and Austria because they moved the cheese of the two countries.

The African development plan of the Paris government is so hated.In recent years, the textile industry in France has developed rapidly and has seized many markets from the British.

It was already a pain for the British, and the African development plan put cotton planting first. How could John Bull bear it?

While planting cotton, the French planned to promote new agricultural technologies in North Africa and expand the area of ​​agricultural products in their African development plan, which in turn moved Austrian cheese.

In this context, if it is not suppressed by Britain and Austria, there will be problems.

In contrast, the competition for the franc's international market share is still secondary, mainly interested in financial circles.

After pausing for a moment, Franz added: "The plan has progressed to this point, and it is no longer possible to quit if you want to.

Continue to follow the plan, increase dumping efforts to France, and consume their foreign exchange reserves as much as possible. "

……

What should come will still come. Affected by the special policies of the Berlin government, on November 1881, 11, the Berlin Stock Exchange plummeted as soon as it opened.

Cutting in half is considered a good performance. Many stocks are only [-]% off, and the market value of some stocks is even less than [-]% of the original value.

The net assets of some companies are several times higher than the market value, and the typical market value is inverted.

This is a normal phenomenon, and assets are not equal to cash.During the stock market crash, asset shrinkage is inevitable.In order to raise funds to tide over the difficulties, don't sell too many tears.

With the development of free trade, the economic ties of various countries are getting closer and closer.The stock market crash broke out in Prussia, and other countries should not think about being alone.

The first to be hit, of course, were Frankfurt and London.The former collapsed in less than three days, and the latter followed in the footsteps of the latter in less than five days.

The Pandora's box was opened, and the stock market crash soon spread to the entire European continent, and the stock markets of all countries were crying.

In less than a week, Vienna's stock market fell [-] percent to its lowest level in five years.

Stock market crashes broke out in both Britain and Austria, and France is no exception.

In Paris, angry stockholders directly set fire to the stock exchange. Fortunately, the staff arrived in time to extinguish the fire.

In the Palace of Versailles, before Napoleon IV recovered from the stock market crash, Elsa, the Minister of Economy, rushed in.

"Your Majesty, the big thing is not good. Hundreds of banks, including the Bank of Paris, the Bank of France, and the Imperial Bank, have been run on at the same time, and the situation is very critical.

Many people hold certificates of deposit and specify to exchange them for British pounds and Aegis. Our foreign exchange reserves are decreasing sharply.

To be sure, someone is going to short francs.The run is just the beginning, and the enemy will attack later. "

Hearing the bad news, Napoleon IV instantly thought of a word—"financial turmoil", paused for a moment and hurriedly asked, "Do you know who is manipulating it?"

Minister of Economy Elsa replied: "There are a lot of participants. Almost all the world's top-ranked banks and securities companies have appeared. It can be roughly judged that the main force is Yingao Capital.

The enemy's forces are very strong. According to the information we have collected, it is estimated that they may hold 30 billion to 50 billion francs in their hands. "

"30 billion to 50 billion francs" seems to be nothing to a big country like France, and it is only the annual fiscal revenue of the French government.

However, this is cash not assets.In the financial market, such a huge sum of money can completely mobilize tens of billions of international hot money and impact the French financial market.

Napoleon IV was shocked and said: "The enemy has raised so much money, does our financial sector know nothing about it?"

Because the Aegis and the pound are both international settlement currencies, the foreign exchange reserves of Britain and Austria are relatively low, and it is impossible to spend so many francs.

The total circulation of francs in the international market is actually only a few billion.This means that the funds that initiate the run can only come from within France.

Minister of Economy Elsa replied in a low voice: "Some time ago, several big domestic banks issued large loans overseas. They were all ordinary commercial projects and did not attract everyone's attention."

This is determined by the system. It is the freedom of others to grant loans by banks, and the French government has no right to interfere at all.

Since I can't control it, I naturally don't pay attention to it.Anyway, the profit and loss are the responsibility of the bank itself, and the government does not need to pay for it.

Napoleon IV hesitated to speak, knowing that domestic consortiums were involved in this run, and there was nothing he could do about it.

If it weren't for the actions of the Berlin government not long ago that frightened the bourgeoisie, French capital is absolutely indispensable in the army of shorting the franc.

Now that everyone is invisible, it is already giving the government a lot of face.You can't let everyone not make money, can you?

After contemplating for a while, Napoleon IV asked, "How are you going to deal with this crisis?"

Economic Minister Elsa: "Unlike in the past, this time the enemy is aggressive, and certainly not just to take advantage of it..."

Chapter 3 and Six Targeted Strikes

As the largest hemp spinning center in France, Lyon, which has always been known as the "Continental Silk Center", has now developed into a metropolis second only to Paris.

At this moment, this dazzling pearl is no longer dazzling.Affected by the British-Austrian dumping, the French industrial and commercial circles faced the cruelest challenge.

The vast majority of companies have announced layoffs and production cuts. The army of job seekers on the street is increasing day by day, and there are very few new jobs.

Almost every recruitment, there will be a commotion.Even if only three or five people are recruited, dozens of people will sign up.

It can be said that this is the easiest time for French companies to recruit people, and they can choose excellent employees as much as they want.

Companies that can recruit people against the market are the most powerful.What is a crisis for ordinary companies is a rare opportunity for these giants.

Lyon Moore Textile Group Co., Ltd. is one of the most dazzling ones. It owns more than 170 factories of various sizes and employs more than 13 people.

The industrial chain covers the upstream and downstream of the textile industry, including cotton spinning mills, hemp spinning mills, wool spinning mills, silk factories, printing and dyeing factories, garment factories... and even their own raw material plantations.

In addition to a complete industrial chain, Moore Textile Group also has the most advanced textile technology, with more than [-] patents.

Such a giant, even if it is hit, has the strongest ability to resist risks.

Other companies have already lost everything, and Moore Textile Group can still make a profit.This is an important distinction, although this margin is already minuscule.

In the eyes of the outside world, life is not easy for this large group with infinite glory.

Profitable companies will also be short of money, the stock market crash broke out, foreign capital is hitting the financial market again, and the run on the market is intensifying.

In response to the crisis, domestic banks have shrunk their money, and corporate financing has become extremely difficult.

In the office building of Moore Textile Group

President Moore Saldas looked at the latest financial statement and sighed deeply: "When will the bank's loan come down?"

Moore Textile Group is also supported by a consortium, but this native Lyon local consortium is rooted in industry, and it is not in the same gourd with the financiers in Paris.

This local consortium was an accidental product of Napoleon III's patronage of industry.If there is no accident, with the support of the French government, this local consortium based on industry will slowly develop into a world-class consortium in the years to come.

The secretary replied to Hank: "Mr. Moore, the situation has changed. A competitor has made a move, and Lyon Bank has suffered a severe run recently.

The bank is raising funds for self-insurance. We have communicated through the consortium relationship. The bank said that as long as it survives the run crisis, it will lend money in the shortest possible time. "

Hearing this news, Moore Saldas's head hurt even more.Domestic banks have tightened their monetary policy one after another. Unless they are very closely related, it is impossible to lend money at all.

In the same consortium, Moore Textile Group and Lyon Bank are the pillars of the consortium, and the shareholders behind the scenes are all cross-shareholding, and they have already formed a community of interests.

Prior to this, Moore Textile Group could get the biggest discount every time for loans, and had never been blocked by the bank.

Now being rejected, it is obvious that the bank is really in crisis and can't care about their ally.

Now that Lyon Bank's competitors have taken action, they will certainly not be aimless, which means that the bank will not be able to count on it in a short period of time.

The stock market crash is still raging, and financing from the stock market is simply unrealistic. Bank loans cannot be paid in a short time, and the only financing channel left for enterprises is to issue bonds.

After pondering for a while, Moore Saldas resolutely gave up this unrealistic fantasy. Given the current economic situation, issuing bonds would be self-defeating.

"The notification will continue, suspend the construction of all new factories, and cancel the large plantation plan in Africa. Let all departments take a careful inventory, as long as it is not an urgent project, stop all the projects that can be stopped first."

In recent years, Moore Textile Group has expanded very fast.The company's profits were spent on expansion, and it also took on huge debts.

Now that the economic situation is not good and there is a problem with the capital chain, in order to save the group's expenses, Moore Saldas terminated the group's expansion plan.

Secretary Hanke reminded: "Mr. Moore, these plans are approved by colleagues and have been announced to the public. If they are canceled now, I'm afraid..."

Moore Saldas waved his hand: "Now is a special period, I will explain the situation to everyone sensible.

Directors are notified that I have a board meeting in three days.

By the way, make an appointment with the mayor for me, now we need help from the government. "

As a large group, 10,000+ people under it have a meal with them, which has a very serious impact on the surrounding economy. If the Moore Textile Group is over, the economy of the Lyon region will inevitably collapse.

Before Moore Saldas' self-rescue operation could begin, Keith Anderson, the head of the Department of Commerce, burst in.

"President, something is wrong. We just received news that the group's multiple international orders have been rejected by buyers.

We may have been targeted. The Ministry of Commerce has sent people to communicate with them. It is estimated that there is little hope.Now the goods are still piled on the ship and cannot be unloaded.

The Ministry of Commerce has notified it to suspend overseas orders and wait for further verification before making any plans.

However, it is still a step late, and seven more ships have already left the port. "

It was the worst news Moore Saldas had ever heard, absolutely nothing.

Occasionally, an order breached the contract, and the Moore Group also encountered it. Anyway, after collecting the deposit, it can be resold to other people at a low price, and the compensation can't be much, and the group can afford it.

This kind of sudden breach of multiple orders at the same time, the situation is different, it is obvious that someone is specifically targeting.

In normal times, that's all. Moore Textile Group has a big business, and a little disturbance is nothing.

It's different now. It is quite difficult to find a new buyer when the market competition is the most intense.

If one is not good, all these products will fall into their own hands.Moore Textile Group, which already lacks cash flow, has a backlog of a large number of products, and the enterprise will be in danger.

Moore Saldas forced himself to calm down: "How much is the value of the defaulted order? If all these goods are in our hands, how much money will we lose?"

Keith Anderson replied with a sad face: "The contract value of the breached order is as high as 1.2 million francs. If there is no buyer for these goods, our book loss will be as high as 1.05 million francs.

If we only calculate the cost, our direct economic loss will also exceed 7500 million francs.

This is just the beginning, and it is uncertain whether the subsequent orders can be fulfilled normally.

If all international orders are breached, the final loss may reach 1 million francs. "

Moore Saldas' face suddenly became gloomy, not to mention the current critical moment, even a loss of 1 million francs in normal times would hurt the Moore Textile Group.

Looking back on the group's internationalization process, Moore Saldas finally found out that something was wrong. The past one or two years has been too smooth.

At first he thought it was the dividend brought by the Prussian-Russian War, but now he realized that it might be a hole dug for them by his competitors.

Those who breached the contract were all major customers of the group, and the two parties had cooperated more than once, but the previous orders were very small.

This year it suddenly increased. Originally, Moore Saldas also suspected whether there was a problem, but the order was too tempting.

They also understand the basic situation of customers, and they are very strong in the local area.

Although the quantity was a bit large, the deposit was paid quickly, and the economic situation was good at the beginning of the year, so the contract was signed without any problems.

Moore Saldas said slowly: "Find a home for this batch of goods as soon as possible!

The capital chain of the group is already very tight, and the domestic financial crisis broke out again. We must raise more cash to prevent accidents.

Don't pursue profit, as long as it can be sold, even if the price is cut in half, we will admit it. "

This is a dead horse as a living horse doctor. Moore Textile Group is well-known in France, and it is still a newcomer in the world.

Even though they are developing very fast and relying on the influence of France to grab a large market from the British, their foundation is still not enough.

This breach of contract is the truest portrayal.If the foundation is consolidated and there are multiple distributors in one area, this passive situation will not appear.

Now that the enemy has made a move, they will naturally think of the problem of finding their next home.If you want to sell this batch of goods in a short time, it may be easier to ship them back to the country.

Of course, this can only be thought about.Not to mention the increased shipping costs, it’s nothing to be ashamed to bring back goods that have already been exported, anyway, capitalists have thick skins.

The point is that now the French market has also been hit by the dumping of British textile products.

The goods of Moore Textile Group can only maintain a small profit. If they put more goods on the market, they will start to lose money.

If they could sell the unsalable goods with a small loss, the capitalists would have done it long ago.

Anyone who does not have a few warehouses of goods in their hands these days is ashamed to call themselves an entrepreneur.