The financial crisis in the United States finally broke out, earlier than in previous lives, but not as severe as in previous lives.
How can this work? If the financial crisis is not so serious, how can Feng Yu's goal be achieved
The simplest point is to let the U.S. stock market plummet, causing the U.S. financial market to collapse and making the U.S. unable to pull back even if it wants to. Only in this way can the U.S. economy be hit to the greatest extent and the gap between China and the United States be narrowed.
To cause the U.S. stock market to plummet, in addition to constantly releasing all kinds of bad news, someone must lead the way in short-selling U.S. stocks and U.S. stock index futures. At the same time, we must take action in the U.S. dollar market and other financial markets to achieve a comprehensive strike. !
There is no need to short-sell the shares of Fannie and Freddie Group. Now they have dropped to about 60 cents, and they cannot be borrowed at all. How can they short-sell in large quantities
However, Feng Yu chose some company stocks that no one else dared to think of, such as Morgan Stanley, a financial giant controlled by one of the top ten financial groups in the United States.
From Goldman Sachs, you can borrow Morgan Stanley shares.
This is also a kind of short-term lending. The current short-term lending interest rates are rising, so most people will not borrow in large quantities, and the cost is very high.
But this is nothing to Feng Yu. He has sufficient cash reserves and has the support of Kirilenko, the Fu family, and the Li family.
Fu Rongqi personally led people to continue selling the U.S. dollar, not giving the U.S. dollar a chance to turn around. Once the U.S. dollar rises, investors' confidence in the United States will increase. If Feng Yu leads people to sell short, there won't be as many people responding.
Feng Yu also notified the country and asked Zhang Ruiqiang to pay attention and deliver the gold contracts as soon as possible. Gold will definitely fluctuate abnormally during this period. Feng Yu cannot keep an eye on it, so he cannot give the best advice.
It just so happens that China does plan to allocate funds to some provinces in China to stimulate the domestic economy. After all, China has also been affected by the international financial market, and its economic growth has slowed down.
The economic growth rate in the first two quarters was close to 11%. However, there has been some decline in the past two months. It is expected that the economic growth rate in the third quarter of this year may only be just over 10%.
If other major economic countries had such a high economic growth rate, they would laugh out of their dreams, but China is still very dissatisfied. One is because China's economic aggregate is still far behind the top, and the other is that China has a very large population and has many places to spend money. Funds that may seem sufficient in other countries are not enough in China.
China is a big exporting country. Even with Feng Yu as a butterfly in this life, many industries have undergone earth-shaking changes, but the proportion of exports is also very high. It is just transitioning from low value-added products to high value-added products.
However, the economic recession in the United States has triggered economic recession in many countries in Europe and Asia. The purchasing power of those regions has declined, and the import volume will naturally also decline. China's export trade has also been severely affected.
It is also because of this that China's economic growth has slowed down, but it is already developing rapidly.
If exports are blocked, domestic demand will be stimulated to ensure economic development. It just so happens that China wants to rectify its retail and other industries. The rectification of these industries also requires considerable investment.
As for asking China's foreign exchange to short-sell crude oil futures, this won't work. The blame for the decline in crude oil will be placed on China, which will seriously affect China's relations with the Middle East. From a long-term perspective, it is very uneconomical.
However, Feng Yu also told Zhang Ruiqiang that the price of crude oil has dropped to nearly 80 US dollars now. He can sign a long-term contract with OPEC countries, pay a part of the deposit in advance, and sign the contract at the current price. .
The price of crude oil will definitely fall all the way to the end of this year, but starting next year, crude oil will rebound again and reach over one hundred dollars again.
Feng Yu's reason is that OPEC members will also lose a lot in this financial crisis, their liabilities will rise significantly, and they need money to relieve financial pressure.
The United States will begin to produce shale oil in the hope of becoming self-sufficient. However, precisely because of this, the price of crude oil will rise and remain high, which is also in the interests of those oil giants.
After listening to Feng Yu's analysis, Zhang Ruiqiang held a meeting and discussed it with domestic economic experts. Those experts also believed that Feng Yu's analysis was very likely to happen, not when the U.S. economy continued to deteriorate.
After hearing what the experts said, Zhang Ruiqiang made a decision to implement what Feng Yu said and consider it from a long-term perspective. However, not all gold contracts can be delivered, only some with a slightly higher leverage multiple will be delivered, but those with a lower multiple will continue to be held.
Didn't Feng Yu also say that by the end of the year, the price of gold will definitely come back, and funds from the stock market and other financial markets will pour into the gold market. This is the most normal situation during a financial crisis.
China cannot be accused of manipulating gold prices, so it is better to reduce the multiple and invest in capital preservation. Those foreign exchange reserves must also be retained. Although some reductions have been made following Feng Yu's suggestion, they cannot be reduced too much at once.
Otherwise, even if Feng Yu promises that if something happens, Feng Yu will do his best to help, he may still fall into crisis. China cannot take any risks at this time.
The withdrawal of large sums of funds from China caused quite a shock in the gold market. Then some investments from consortiums also withdrew one after another. With the emergence of a financial crisis, they had to take care of their most fundamental interests first.
The price of gold suddenly began to fall. Some consortiums and investors also saw opportunities and began to short-sell gold contracts in the hope of making huge profits.
Short-selling contracts in the crude oil market also began to increase sharply, and the price of crude oil fell at a faster rate. Although OPEC and other member countries spent a large amount of money in the hope of holding down the price of crude oil, it did not help at all.
The amount of short-selling funds is too huge for them to fight. It is said that these OPEC member countries are very rich, but that is calculated on a per capita basis. Really counting the total output value, they can only be regarded as average. In particular, foreign exchange reserves are not large at all.
Feng Yu and the others also used high leverage to increase their positions and reduce their risk reserves. Now that many funds are selling short, a general trend has been formed, and the risk of crude oil rising will be very low.
What's more, even if it goes up, you can definitely deliver a batch and do hedging in the opposite direction, and your profits can still be preserved.
And Feng Yu also asked people to declare in the media that the U.S. stock market was doomed and a collapse was inevitable. If you don’t believe me, look at Morgan Stanley, which is said to be extremely powerful. Their company’s stock also fell by 12% in two days, and it is still falling rapidly!
The financial crisis in the United States is more severe than in previous lives!
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