Chapter 916 - Transfer to the stock and property markets
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In '77, the dollar depreciated, but it took two years to depreciate by 40 percent, and now, in just one day, it has depreciated by 15 percent. Pen | fun | pavilion www. biquge。 info{{}} What is this concept?
This is the first day!
The U.S. Congress reacted quickly, and instead of a few days of discussion as usual, they cut public spending, culture, sports, and social security, hoping that the Treasury Department could quickly solve the problem and stop the continued decline of the dollar.
It's just that things are far from that simple.
At the beginning, if there was no huge amount of money from the Far East Trade and Investment Corporation to block the space for the appreciation of the RI yuan, then the United States only needed to throw a small amount of dollars, such as 10 billion, which would definitely be able to touch the market and make the RI yuan appreciate, and then, another tens of billions, would be used to adjust the market's reaction and make this appreciation move slowly.
But now, this plan of theirs has been shattered, and due to the malicious speculation of the huge funds of some investors, it has triggered the evil consequences of the collapse, and the downward trend of the past month has been stubbornly resisted, and now, as soon as it is loosened, it is like a flood, and it has begun to flood. There is another point, which is naturally the hype of international investors, the last time the dollar depreciated, they did not seize the opportunity, and this time they will definitely not give up.
On the first day, the dollar fell by 15 percent, which corresponds to the same as the RI dollar, and began to appreciate, and this is just the beginning!
"In seven or eight years, we went through a process of depreciation of the dollar, albeit slowly. However, the depreciation of our dollar by 40 percent led to problems in our economy, inflation, and we saved the value of our dollar by raising official interest rates three times in a row and implementing a tight monetary policy. Let's get our economy back to normal, and right now, the dollar is depreciating too fast. Our expected goal was to depreciate by 20 percent, but right now. It's 15 percent depreciation, and it's only the first day, so we have to come up with a viable way to save our currency, we need to put money into it, and if we don't act quickly now, our people will face even more serious economic risks. Paul began his appeal at the agenda held in Congress. Let these parliamentarians see these dangers.
As for James, he has chosen to remain silent at this time, otherwise, he will face the constant questioning of those parliamentarians, how did things become the way they are!
Finally. The National Assembly has approved a proposal for additional funding, which will cut funding in various areas to share the funds to bail out the market.
With $100 billion in his hand, James finally had confidence again, even if he couldn't let the dollar appreciate, stop the trend of continued depreciation. Or is it possible, right?
James was wrong, and once again he ignored the influence of international investors.
The depreciation of the US dollar and the appreciation of the RI dollar have entered an irreversible process.
Hot money from all over the world is frantically pouring into the investment market of island countries.
Within a few days, the value of the RI yuan continued to appreciate, and the exchange ratio of the RI yuan to the US dollar has dropped to 160 RI to one dollar.
In the past, in order to resist the support of Western countries for Israel, the Arab world launched an oil crisis, but it was not able to shake the US economy, but now, this crazy depreciation of the US dollar has caused serious problems in the US economy.
The depreciation of the dollar is to increase the competitiveness of the products produced by American enterprises in the world, and to hit the big foreign exchange reserve countries, so that the dollar in their hands will be devalued, and this process must be slow. {{}}
But now that the dollar is depreciating so dramatically, just as their companies are enjoying the benefits of the dollar, they have eaten up the consequences, and the prices of the raw materials they produce, the various goods they need to import, have begun to grow wildly.
These skyrocketing prices have triggered a new round of inflation in the United States, and when ordinary people in the United States wake up, they find that the price of food has risen again, and they are reluctant to buy even a new piece of clothing.
Ordinary Americans have become direct victims of this economic struggle. Due to the depreciation of the dollar, even most of the funds in the United States have begun to flee, and capital has always gone to the place where the interests are greatest, and they have also invested in the huge profits of the appreciation of the RI dollar.
The idea of the United States itself trying to squeeze its own economy by depreciating the yen has been starkly ironic by reality, and they are now faced with how to stabilize the value of their currency. {{}}
On the other hand, the current island country is already a thriving scene.
Although the appreciation of the RI yuan will damage the large number of dollars held by the island countries due to the depreciation, even ordinary people will find that they have money.
Noboru Takeshita became the most popular person in the cabinet, and this time, under pressure, he accepted the proposal of the US side to let the RI yuan appreciate, and now, the economy of the island country has begun to develop in great strides.
The appreciation of the riyuan has swelled the self-esteem of the island people again, and they perceive that this is a golden opportunity for them to expand overseas.
Noboru Takeshita once again proposed that in order to encourage the flow of funds, they should lower the bank interest rate so that this part of the funds can fully enter the market circulation.
Although the exchange rate has not yet fallen to the lowest point in history, Zhang Manyu has sensed certain risks, and after making a lot of money from the foreign exchange market, their funds began to gradually withdraw from the foreign exchange market and move to the stock and real estate markets.
That's exactly what Qusay meant. {{}}
This punch hit the soft underbelly of the United States, and when the United States was caught off guard and had no strength to retreat, it caused a sudden and rapid depreciation of the dollar, which caused the domestic manufacturing industry in the United States to suffer a huge blow.
However, the United States is still an economic giant, as long as they react and carry out active rescue actions, so, and then continue to fight the currency, it is no longer valuable, the United States zhèngfu will definitely introduce a series of policies to stabilize the value of the dollar, although this process is difficult, so that the United States low- and middle-income people are greatly affected, but as long as the United States is willing, it can still be relieved. In this process, Americans will suffer a huge impact because of the rapid depreciation of the dollar, their cost of living will rise sharply, and there will be serious inflation in the country, and this process may take a year or two, and this blow will have a profound impact on the US economy, but it will not completely crush the US economy.
This stage of the hype RI meta action needs to come to an end, and they will move on to the next stage of action.
Now, with a large amount of money flowing into the island countries, it is a good thing and a crisis for the island countries.
Because, not all of these funds are invested in real production and construction, that is, they are not used for added value, but for speculation, that is, in the financial market.
The stock boom is all false and cannot truly reflect the country's economy, especially since these stock markets are now mainly foreign funds.
Everyone coaxed each other, speculated stock prices and real estate, and then, these prices have deviated from the real value, higher and higher, higher and higher, these batons, passed to each other, and so on to whose hands they go, the bubble is punctured, then it is all bankrupt.
At this point, the Far East Trade and Investment Corporation is facing the least risk, and their current funds, after speculation on RI dollars, already have nearly 500 billion dollars of capital means, as long as they do not withdraw their capital, this game will definitely continue.
"Now the key target is the stocks of various large conglomerates and large companies in the island countries." Zhang Manyu said: "Toshiba, Sony, Fujitsu, Mitsubishi, Toyota, the stocks of these big companies, how much the market has, how much we absorb. ”
Zhang Manyu can't look down on those small companies, what she needs is to buy these large companies with global influence when the stock price has not risen yet, these stocks will rise the fastest, and when she sells, she can have the biggest impact on these companies.
At that time, due to the economic depression, those companies that no longer have enough capacity to keep the business going on will have to sell off certain divisions.
For example, Toshiba has sold several important product projects to Ousheng Corporation.
In addition to stocks, another aspect is real estate.
In later generations, after the Plaza Accord, the stock price of the island country rose sharply at a rate of 30 percent per year, and the land price rose at a rate of 15 percent per year.
Now, the wealthy Kingdom Construction Company has completed a preliminary inspection of the Ginza area, and is preparing to acquire a piece of land at a high price on a vacant land, which is the symbol of Ginza.
At the same time, according to Prince Waleed's vision, the secret account of the Far East Trade and Investment Company began to buy some real estate projects with relatively large appreciation potential.
The locals don't like high housing prices, only outsiders with silver buy real estate in large quantities and speculate on housing prices, they are the main force in real estate speculation.
In later generations, the real estate of the island nation was hyped up by a large number of international financial capital, and by selling the real estate in Tokyo, the whole of the United States could be bought. However, high housing prices still make it unattainable for ordinary people to own their own homes.
Zhang Manyu opened the curtains of the room and looked at the night light outside, at this time, it was already dark, they had been here, fighting for a month, and finally it was time for them to harvest.
Is it possible to speculate on the stock market and real estate of the island countries to a high price of 300 percent in half a year?