Chapter 768: Provocation Again
Dual-track monetary system? What is the ratio of paper money to gold coins free-floating? Yi Zhi's eyes lit up, this is indeed an extremely rare opportunity to earn gold, Yuan Qi has a bank, a factory and a company in the United States, and the trade volume with the United States is also very large, as long as there is gold in hand, there are more channels to transfer gold.
"450 million banknotes, which are completely unguaranteed by gold and silver reserves, depreciation is certain." Xie Xiuyuan continued: "Even if the north can win the war in the end, the paper money may depreciate significantly, which is a sure deal. β
Yi Zhizu nodded slightly, and said: "There is no doubt about the depreciation of paper money, such a large amount of paper money issuance will inevitably cause inflation, this is common sense, even ordinary people who don't understand finance know this."
This move of the Northern Federation will inevitably attract gold speculators from all over the world, which is not only conducive to absorbing large sums of money from abroad, but also conducive to the smooth issuance of the 450 million banknotes, and at the same time can reduce inflation. β
Hearing him say this, Xie Xiuyuan hesitated and said, "What does the big shopkeeper mean that we don't mix?" β
"Why don't you mix it up?" Yi Zhizhi said with a smile: "This is a rare opportunity to make money and arbitrage gold, and it is also a rare speculative feast, how can Yuan Qi be absent?" After a pause, he asked, "What is the price of gold now?" β
"One hundred gold coins, one hundred and twenty dollars." Xie Xiu said tentatively: "The big shopkeeper can still draw out funds to speculate on gold?" β
The 100 gold coins on the exchange are about 4.8 ounces, this price is still very strong, it is obvious that the dollar has not depreciated, it is definitely profitable to enter the market at this time, Yi Zhizhi sighed and said: "Now that the price of cotton has risen steadily, there is no need to continue to invest money, transfer the remaining funds to the New York branch, and let them invest all in gold." β
After a pause, he continued: "The gold transaction in New York is directly linked to the US dollars issued by the Northern Union, and whether the war is smooth or not directly affects the value of the US dollars issued by the North and the South, especially the battle of great strategic significance.
The price of gold in New York must have fluctuated greatly with the tide of the war, telling them to gather intelligence and keep an eye on every major war. β
"Yuan Qi has an advantage in this matter." Xie Xiuyuan smiled and said, "Many officers and soldiers of Yuanqi serve in the navy and army of the Northern Federation, and they can understand and convey the situation of the war in a timely manner. β
"That's right." Yi Zhizhi smiled and groaned slightly, and then he said: "Sooner or later, we will also adopt the gold standard, and at present, we must not only carry out gold reserves, but also need a gold exchange with a certain scale."
In addition, Shanghai as the largest financial center in the East, can not do without a large-scale gold exchange, you prepare for this, Europe is now a gold-silver exchange ratio of 1 to 16, the highest one is 1 to 16.5, we are not short of silver, the lack of gold, the ratio is directly set at 1 to 18, in order to attract gold to the east. You discuss this matter with Kong Jian'an, you have to hurry up, the sooner the better. β
"One to eighteen?" Xie Xiuyuan was a little surprised, "At present, the domestic gold-silver ratio is only 1:15.5, and if it suddenly rises so much, will it have an impact on silver?" β
"To implement the gold standard, the impact on silver is inevitable, and it is better to be hit early than late." Yi Zhishu said slowly: "In the long run, the exchange of gold and silver will be higher than the festival, and it may be as high as 1:30 or even 1:40 in the future. That's why I'm going to go to the gold standard. β
"It's not ......" Xie Xiuyuan hurriedly said: "The subordinates should not pull the gold and silver ratio too high at present, can they wait for the cotton market to make a profit before launching ........" β
"Don't worry." Yi Zhizhi said disapprerovingly: "The price of cotton is rising, no one dares to fight Yuanqi's idea, and the current situation in Europe is a little turbulent, and it is a good time to absorb gold." β
Before the words fell, Cao Gensheng walked in quickly and reported: "The big treasurer, New York is calling, the Spanish army of 6,000 has captured Veracruz in Mexico. β
Spain sent troops to attack Mexico? Yi Zhizhi was content, took the telegram and glanced at it twice, he frowned slightly, Spain sent troops from Cuba, no wonder there was no news in advance, what grievances did Spain have with Mexico, and chose to send troops at this time? Is there any support from Britain and France behind this?
He vaguely felt that this seemed to be aimed at the American Civil War, or rather, this was simply a provocation, and it was a provocation against the bottom line of the United States!
After a slight groan, he ordered: "Let people immediately find out the reason why Spain sent troops to Mexico, and find out whether there is any support from Britain and France behind it." β
Cao Gensheng, who was waiting, left, Xie Xiuyuan said: "Will this matter affect the price of cotton?" β
"If Britain and France are behind it, it will definitely affect the price of cotton." Yi Zhishu said slowly: "Have you heard of the Monroe Declaration? β
What Monroe Declaration? Xie Xiuyuan hurriedly shook his head, it was only in the past few years that he began to know a little bit about Western countries, where did he know what the Monroe Declaration was.
"The Monroe Declaration was issued by President James Monroe of the United States in 1823." Yi Zhizu said slowly: "The Monroe Declaration is a basic norm of American foreign policy, that is, it requires European countries to no longer colonize sovereign countries in the Americas, or get involved in the sovereignty-related affairs of the United States, Mexico and other American countries.
The United States of America is neutral in the face of disputes between European nations or between nations and their American colonies. If the war were to take place in the Americas, the United States would consider it hostile. β
After a pause, he continued: "Spain's brazen invasion of Mexico is tantamount to provoking the Monroe Declaration and the bottom line of the United States. β
Hu Xueyan's reaction was the fastest, because the price of cotton fell, and the reason was the Spanish invasion of Mexico! After figuring out what was going on, he immediately sent a telegram to the country.
After reading Hu Xueyan's telegram, Yi Zhizhi was silent for a long time, and things were worse than he imagined!
Spain's invasion of Mexico was prompted by Mexico's announcement that it would suspend the payment of interest on its foreign debt.
In 1860, JuΓ‘rez led Mexico's "War of Innovation" to victory, and was elected president in June of the following year.
In addition, the British, French, and Spanish expatriates in Mexico have also suffered huge losses due to war, political turmoil, and other reasons, and have asked the governments of various countries to put pressure on Mexico to compensate.
Mexico lost the Spanish-American War, not only ceded a large amount of land, but also paid a huge war reparations to the United States, at the same time, the domestic political situation is also long-term turmoil, the financial collapse is almost collapsed, and it is simply unable to repay its foreign debts, let alone repay, and even the interest on foreign debts cannot be paid.
On 7 July of this year, the Mexican Congress passed a resolution to suspend the payment of interest on foreign debt for two years because of its poor fiscal situation.
When Britain, France, and Spain learned of this, they immediately severed diplomatic relations with Mexico, and in November the three countries secretly signed an agreement in London, the "London Tripartite Agreement", and decided to jointly send troops to Mexico.
Obviously, Spain sent troops to capture Veracruz, just the forward, and Britain and France will soon send troops to Mexico one after another!
After only two years of temporarily stopping the payment of interest on foreign debts, Britain, France, and Spain brazenly decided to send troops to invade Mexico! Yi Zhishu is sure that this is definitely going for the Northern Union, because of the Monroe Declaration, Latin American countries will definitely ask the United States to assist Mexico to safeguard the due interests of the sovereign countries of Latin America.
If the United States does not agree, it will be tantamount to a slap in the face, and the Monroe Declaration will become a joke, and if it sends troops to help Mexico, it will give Britain, France and Spain an excuse to start a war.
"The big treasurer, the ambassador is here to visit." Lin Meilian reported softly.
"Please." Yi Zhishu hurriedly stood up and greeted him, Uncle arrived just in time, and he was about to send someone to invite.
As soon as they met at the gate of the courtyard, Yi Zhishu even saved his greetings and said straightforwardly: "Spain has invaded Mexico, and Britain and France may also send troops later, how do you plan to deal with it?" β
"I don't know how those parliamentarians in the country will choose." Bo Jia shrugged his shoulders with a helpless expression.
So what is this guy coming to the door for? Wouldn't it be so coincidental to come to him for tea and chat? Yi Zhixiang was puzzled, but it was not easy to ask directly, so he let him into the study, and after sitting down to serve tea, he simply did not speak, took out the jade cigarette holder and slowly lit a cigarette.
Seeing his posture, he couldn't help but smile and said: "Don't worry too much, Mr. President will make the most correct choice, the 'Taranto Incident' Mr. President risked offending the entire North and bravely extinguished the fire of war in the hands of the British, I believe that this time, he will also risk offending the entire Latin America, and will not give Britain, France and Spain an excuse or opportunity." β
Hearing this, Yi Zhizhi secretly breathed a sigh of relief, thinking about it, what kind of character is Lincoln, what is he messing with, speaking of which, he is actually afraid that this world will deviate from its original trajectory, and he muttered a little before he said: "I am concerned about it, after all, Yuanqi is doing his best to support your country, and it is a heavy bet." β
Bo Jia's eyebrows were full of smiles, "Are you talking about cotton?" β
"Not bad." Yi Zhizu said: "Yuan Qi has hoarded a lot of cotton in Europe. β
"You're the shrewdest businessman I've ever met." Bo Jia praised lightly before saying: "You have long expected that the war broke out, and the textile mills in the north would be short of cotton?" β
Will the textile mills of the north be short of cotton? Where is this? Yi Zhizu waved his hand, "No, Yuan Qi's hoarding of cotton in Europe is not for the northern textile mills, but for Britain and France at a high price. β
"Sold to Britain and France?" "There is no shortage of cotton in Europe right now. β
"There will be a shortage later." Yi Zhicontent said with a smile: "With the increase in the naval blockade of the southern coast, there will definitely be a crisis of cotton shortage in Europe. β
"You should know the strength of our northern navy, and besides, the south and Europe have formed a large smuggling fleet, and it may take a long time to completely block all the ports and coasts of the south, after all, it takes time for the navy to grow." Bo Jia said in a pleading tone: "The best buyers of the cotton that Yuanqi hoarded in Europe are those textile mills in the north, and they are willing to pay a high price. β
The textile mills in the north searched for a source of goods and found him? Yi Zhishu groaned slightly before saying, "Is someone deliberately targeting the textile mills in the north?" β
"Nope." "Most of the merchant ships have been requisitioned by the navy, there is a lack of fleets, and the European fleets are now basically refusing to go to the northern ports. β
Economic blockade? With the attitude of Britain and France towards the American Civil War, this is not surprising, Yi Zhicontent groaned and stretched out four fingers, "Forty cents a pound, do they dare to ask for it?" β
"Forty cents a pound!" Bo Jia said with an exaggerated expression: "Are you crazy?" β
"It's not that I'm crazy." Yi Zhishu shook his head and said slowly: "It's cotton that is crazy." β
Bo Jia shook his head like a rattle, "This is an unacceptable price." β
"Then I can't help myself." Yi Zhizhi said: "I want to wait for a year, and cotton will definitely be sold at a good price." β
Bo Jia's words changed, "I heard that the northwest of your country is vigorously promoting cotton planting?" β
"Yes, it has only started to be promoted in the past two years." Yi Zhifen readily admitted: "China is also ready to vigorously develop the textile industry, you know, the cotton in the south of the Yangtze River is not suitable for machine weaving, and the cotton in the northwest can ensure the demand of several new textile mills." β
Seeing that he opened his mouth and blocked the words, Bo Jia was speechless for a while, it was impossible for him to buy cotton and he had to retreat, "Then can you lease Yuanqi's merchant fleet?" β
Where is the merchant fleet still leased, and now the transportation task of Yuanqi's ocean-going fleet is quite heavy, Yi Zhixiang said apologetically: "I'm sorry, I can't help." β
Seeing Bo Jia leave disappointed, Yi Zhizhi extinguished the cigarette butt, he really didn't expect that the textile mills in the north were so short of cotton, but it was reasonable to think about it, the South announced that it was premeditated to secede from the Union, and the North did not expect this at all, and it was impossible to hoard a large amount of cotton in advance.
The consumption of the war is undoubtedly huge, and the north urgently conscripts 500,000 soldiers, and the demand for textiles is so great that the cotton stocks must have been used up, and the textile mills in the north should be in a state of waiting for rice to be cooked.
Although he has the heart to help, but can not harm the interests of Yuanqi, after all, for this cotton hegemony, Yuanqi's investment is huge, and after a while, he estimates that the north will accept this price, in fact, sell a batch of cotton to the north, causing a shortage of cotton in Europe, more suitable to raise the price of cotton.
He thought he would wait for a while, but after only three days, Bo Jia came to the door again, and as soon as they met, he said straightforwardly: "Forty cents a pound, we need 300,000 packs, cash on delivery." β
Yi Zhixiang was not surprised at all, and said with a smile: "300,000 packs are no problem, but I only need gold." β
"They will do their best to meet your conditions." Bo said briskly: "But it must be as soon as possible." β
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