Rebirth of Hong Kong's tycoons, shorting Eagle Sauce

Robert was not convinced when he heard that his boss was so optimistic about a person.

But he responded:

"He can get the boss's true teachings, so it must be easy to deal with Lao Suo."

Wang Lei smiled, knowing that Robert must be a little unconvinced, so he continued to explain:

"The president accepted my opinion and gave him full responsibility to stop Lao Suo."

"You know how bad the economy of Big Goose is. Although it has recovered a lot of blood in recent years by relying on energy trading, it is already riddled with holes."

"Under normal circumstances, it is not a problem for Lao Suo to take the ruble."

"But he met the Great Emperor, a ruthless man who doesn't talk much and would rather hurt himself eight hundred times than to exchange injuries for injuries!

With him, Lao Suo and other shorts don't want to take a single cent from Big Goose!"

Robert heard the implication of Wang Lei's words.

What do they shorts fear most?

The basis of short selling is the free market economy.

If it becomes a state intervention, countries with weak international strength will have limited ability to fight back, but if it is a country like Big Goose, they are likely to choose to turn the table and default on their debts.

The premise for Lao Suo to sell the ruble on a large scale is that someone will take over. If the ruble falls directly, no one will take over the ruble sold, which is equivalent to freezing the funds.

If Big Goose stops trading in the treasury bond market and starts to deny its debts, Lao Suo can only hold the ruble that has depreciated greatly with tears, and cannot exchange the money for treasury bonds.

Although doing so is a broken pot, which will cause the country's credibility to plummet, doing so will undoubtedly protect the country's capital.

"Does he really have the courage to do so?"

"Of course there is, you can watch it, and not letting you go to Big Goose is also for your own good."

Robert on the other end of the phone was convinced. After Wang Lei's analysis, he immediately understood the other party's good intentions.

"Then I will continue to bully Han Country."

In September 1996, Lao Suo and a group of short sellers such as Tiger Fund squeezed out the last bit of value of the Four Little Tigers of Dongzhou.

With huge amounts of money, they started to enter both Da Goose and Hong Kong.

Because of their lack of experience, people did not realize that the shorts had already started the first round of attacks.

The stock market rose instead of falling under the general situation of the financial crisis, and the Hang Seng Index broke a new barrier.

It reached a historical high of 16,000 points!

The entire Hong Kong financial market was cheering, and people felt that after a short trough, the Hong Kong economy was back on track!

They did not realize that this was the period for international hedge funds to short the Hang Seng Index.

Even Charles and Guy regretted that the recent selling force was a bit too strong, allowing many people to take advantage of it.

Seeing the stock price and housing price rise at the same time, Chao Xiancong became more and more proud, and frequently appeared on TV programs to slander Wang Zhengyi.

For a while, fame and money flocked to him.

Just when the people of Hong Kong felt that the crisis was over and the shorts would not come to Hong Kong.

Lao Suo and other international hot money began to sell Hong Kong dollars, as if they were going to launch a large-scale attack on the Hong Kong dollar exchange rate.

It would be a lie to say that the financial authorities were not nervous when faced with the crisis. They could not ignore the plight of the four little tigers. Like frightened birds, they immediately chose to raise interest rates!

At noon on October 23, the financial authorities raised the interbank lending rate sharply to 280%!

While raising the cost of borrowing Hong Kong dollars for short sellers, any bank was strictly prohibited from lending Hong Kong dollars.

Director Ren felt that as long as the source of short sellers obtaining Hong Kong dollars was curbed, the short selling could be curbed.

Raising interest rates means that funds will flow into banks. In addition to the appreciation of currency, the stock market and futures market are falling.

At this time, the financial authorities have not yet realized the seriousness of the problem. They only think that as long as they hold the exchange rate, they can resist the plunder of international hedging institutions.

It seems that the interest rate hike really worked, and the Hong Kong dollar exchange rate soon returned to the warning line of 7.75.

A period of calm days made people feel that the short sellers felt that there was no profit and retreated.

But at this time, Lao Suo and other institutions sold HKD worth 10 billion USD in the foreign exchange market in London!

The Hong Kong dollar exchange rate took another sharp turn downward, falling below 7.75 again.

At this time, some bribed tabloids spread unfavorable news, saying that the Hong Kong government's linked exchange rate would soon be lost, and the Hong Kong dollar would continue to depreciate under attack.

The financial authorities announced another interest rate hike, this time raising deposit and loan rates in an attempt to further close Lao Suo's channels for obtaining Hong Kong dollars on the black market.

After paying a large amount of foreign exchange reserves, the exchange rate rebounded again.

This fierce battle made people cheer.

Chao Xiancong, who had been silent for a while, stood up again to ridicule Wang Zhengyi, and spoke out on a TV program:

"We won this financial battle, we defended the exchange rate, and Lao Suo is just like that."

Lao SuoAfter hearing these words, not only did they not get angry, but they gave the young man a thumbs up.

All the people in Hong Kong felt that they had won this financial war.

Little did they know that this was all a trick of the fox Lao Suo. They were completely fooled by the other party and didn't even know that they were fooled, so how could they talk about victory?

Lao Suo sold Hong Kong dollars from time to time, so that the financial authorities dared not relax at all.

The slightest disturbance in the currency market would cause a commotion.

Under the pressure of high interest rates, the consequences gradually appeared in stock prices.

The stock index fell from 16,000 to around 12,000 points at the end of the year.

In the next six months, Lao Suo launched two more attacks on the Hong Kong dollar, and Director Ren used raising interest rates to respond.

...

At this time, some sober-minded people in Han Country also realized that something was wrong.

A bank manager named Yi Zhengxue found that foreign capital was collectively withdrawing from Han Country.

He quit his good job amidst the laughter, gathered all his former big clients together, and passionately lobbied them to invest in his private equity.

Looking at the uncles and aunts who gradually left the table, Yi Zhengxue was disheartened, thinking that he would return empty-handed.

Ordinary people do not have so many channels to collect information, and they still live in the dream that the Republic of China will become a developed country.

At this time, if you tell them that the economic crisis is coming, no one will believe him.

At this time, applause came from the audience.

"Sir, I don't think I invited you."

"This is my boss's business card. If you are interested, you can call him at any time. I believe he will be very interested in your remarks."

Yi Zhengxue looked at the gilded black dragon and was enveloped by a huge surprise.

"White Dragon Group, Wang Lei!"

"Hey, kid, why don't you continue? I'm very interested in your private equity."

Facing the uncle who raised questions from the audience, he quickly apologized:

"Uncle, that's all for today. I suddenly remembered that I have something important to do. If you are interested, you can contact me at any time."

As he spoke, he walked out.