Reborn Entrepreneurial Giant.

Chapter 205 The depreciation of the Australian dollar

The incident in Xiangjiang did not affect their plans. Qu Li left for Silicon Valley the next day. When he left, the international crude oil price had dropped below 70 US dollars.This shows that his capital is much stronger. Assuming that he cashes out at this time, he will make a profit of US$4 million.

Knowing that Qu Li had arrived in the United States, Wu Hongning came directly to the door. With the subprime mortgage crisis in the United States, the total bailout plan voted by the United States in early October was increased from the original 10 billion US dollars to 7000 billion US dollars.But at this time, all major financial giants are in a liquidity crisis, and domestic funds are limited. Who will foot the bill?Of course, those countries have large foreign exchange reserves.

The foreign exchange reserves of a large country reached 2007 trillion US dollars in 1.53, and were close to 08 trillion US dollars in 2. Japan's foreign exchange reserves were about 1 trillion US dollars.A certain big country is export-oriented and has a trade surplus. The United States is the world's largest consumer country. Once it falls, the lack of market will hit the economy.

However, the scale of the United States' foreign debt has increased from 08 trillion US dollars in 10 to 22 trillion US dollars in 30. They will probably never be able to pay back the money they owe others.

"Morgan Stanley has a huge funding gap. We do have money, but we can't hold a controlling stake, or even increase our shareholding ratio. Japan Mitsubishi UFJ is lucky..." Wu Hongning complained. The rich man is not the uncle.

"There are so many financial institutions in China, let them come out and look around. Morgan Stanley is such a good platform..."

"We have seen so many investments in the country suffer losses. Restricting companies' overseas investments makes it impossible for them to go overseas, and the United States may not agree."

"Sovereign funds can't do it, state-owned enterprises can't do it, what about private enterprises?"

"Do you want to invest?" Wu Hongning glanced at Qu Li

"I'm kidding, I'm kidding. If I have that much money, I'd rather build cars. No matter how good Morgan Stanley is, it's not the same company as me." Qu Li has little ambition and doesn't want to be Huatou's white glove. It's harmful to him.

The two chatted for a while. Wu Hongning now had spare money and was worried about where to invest it.

"Let's invest in Xiangjiang River. With such high returns, isn't it normal to increase investment?"

"Have you made any money?"

"Unless we make mistakes in our judgment of the general trend, we should not suffer losses."

"Actually, I told others your judgment on crude oil prices, but..."

“Did someone lose money based on our judgment?”

"That's not true. They believed half of it, made money and ran away."

"Oh, that's not bad. We still have it, but we dare to bet on it. Do they dare now? They won't want us to provide guarantee, right?"

"Look what you said, isn't this a slap in the face?" Wu Hongning's face turned slightly red. He did something unethical and he was apologetic for leaking secrets to outsiders.

"Don't worry, it won't happen next time."

"There will be no next time. You don't think that there is a financial crisis every year around the world. You are not a very good-looking person, but you have a beautiful idea."

"..." Wu Hongning thought for a long time and finally said nothing, knowing that there was a gap between Qu Li and him, and they would never be as close as they were now.

"The Australian dollar has really depreciated. One U.S. dollar can be exchanged for 1 Australian dollars. The exchange rate a few months ago was still one to one."

"The Australian dollar has depreciated, so fast?" Qu Li didn't pay attention. What about the Japanese yen and the euro when the Australian dollar appreciated?

"Of course, the U.S. base camp is about to collapse, and of course blood must be drawn from overseas."

Qu Li was no longer calm now. He thought of his foreign exchange investment.

"I heard that there is a fool in Xiangjiang. I don't know who he signed a cumulative option contract with."

"What's wrong with buying options? The most you can lose is your principal. The risk is controllable."

"I'm talking about cumulative options contracts."

"Uh, what's the difference?"

"Didn't you buy options many times?"

"Of course, but I have clear requirements every time. The biggest risk is losing the principal. This must be stated in the contract."

"Hey, some people can't figure out such a simple thing. This cumulative option contract is designed to set a price range. If the price is higher than a certain price, it will be cancelled. If the price is lower than a certain price, the current price will be used to make up for it.

The Xiangjiang company only needed 15 billion Australian dollars, but it signed an agreement to exchange 1 Australian dollar for 0.87 US dollars, and purchased a certain amount of Australian dollars every month, with a maximum total of 90.5 billion Australian dollars.Even though 1 Australian dollar can now be exchanged for 0.69 US dollars, it still costs 0.87 US dollars. "

"..." Qu Li couldn't calculate it, and he didn't know if there was a fixed transaction amount every month. The losses were high and low, so it was really hard to calculate.The expiration date of Xiangjiang's option contract was October 2010. The maximum profit was only US$10 million, and there was no lower limit on the loss.

"They continue to hold these Australian dollars and wait for the appreciation of the Australian dollar. If they lose money now, can they earn it back later?" Qu Li thought for a long time and came up with such a solution.

"What about the continued depreciation of the Australian dollar?"

"Is Australia going bankrupt?"

"..." This time it was Wu Hongning's turn to be silent. Yes, if there are sufficient funds and a long investment cycle, as long as Australia's minerals are still valuable and Australia does not go bankrupt, it can indeed use time to make up for the losses.

"you say……"

At this point, both of them were worried. In the end, they didn't bother to eat, so they returned to the hotel and turned on the computer to start working. Seeing this, Qu Li was heartbroken, as the euro had depreciated.

Qu Li originally exchanged 1.5 million US dollars for 1.05 million euros, and then the euro continued to appreciate. By July this year, it could be exchanged for up to 7 million US dollars. As a result, in just two or three months, it could only be exchanged for 1.68 million US dollars.

Looking at the Japanese yen again, US$2 million was exchanged for 230 billion yen, and now it is worth US$2.28 million. Fortunately, the Japanese yen did not disappoint him. No wonder the Japanese yen is said to be a safe haven currency.

Qu Li urgently contacted the Vision Fund. It is the weekend now, and tomorrow is October 10th. The Japanese yen will be streamlined and all euros will be converted into US dollars.

Qu Li went to Shopee the next day, but his mind was still on the euro. The yield on the ten-year-old German government bonds he bought fell a lot, and it looked like he was losing money, but the guys from the Vision Fund said they were making money. It’s hard to understand. ah.

The results came out in the evening. After holding German ten-year government bonds for one year, the yield at that time was 4.4%. After one year, the principal and interest should be 1.096 million euros. However, now the German government bond yields have fallen to 3.8%. After being converted into cash, it has become 1.1 million euros, converted into U.S. dollars, is 1.46 million U.S. dollars, a net loss of 400 million U.S. dollars in one year. Fortunately, leverage was added, and a lot of money was made here in Xiangjiang.

"Are you interested in going to Australia with me?"

"What are you going to do in Australia?"

"The iron ore company called FMG that you were optimistic about before needs money. I don't have much else, only money."

"You only have US dollars, how can you have so many Australian dollars?"

"I don't have Australian dollars, others do."

Australia's foreign exchange reserves are about 300 billion US dollars, and a Chinese state-owned company has signed a cumulative option contract of 90 billion Australian dollars. Is it possible for you to tell others not to worry?

"Then you're going to Xiangjiang?" What did Qu Li think of?

"Don't worry, someone is going."

"Australia..." There is the lithium mine he needs there