A trillion dollars is a lot, and it is difficult to digest in the global financial market.
Li Zetian had to take advantage of the months before the subprime mortgage crisis fully erupted to boil frogs in warm water and take it slow. However, Li Zetian believes that even if the financial crisis breaks out, they cannot see the seriousness of the situation, and there will still be many gamblers.
The plan to short stock index futures is slowly progressing.
Li Zetian lived a very comfortable life in Hangzhou, growing flowers and watering, and was content every day.
More than four months have passed in a blink of an eye.
On August 2, 2007, the German Industrial Bank announced a profit warning, and later it was estimated that there was a loss of 8.2 billion euros, because one of its 12.7 billion euros was the "Rheinland Fund" and the bank itself participated in a small amount of real estate transactions in the United States. suffered huge losses in the primary mortgage market business. The Bundesbank convened the nation's banks to discuss a package to rescue Germany's Industrial Bank.
After Li Zetian heard the news, he smiled, don't be afraid of Germany, Japan's bank is a loss!
The original Wells Fargo Bank also engaged in the subprime mortgage loan market business in the United States, but after that, Li Zetian ordered the entire business to be sold to Japanese banks. In other words, Japanese banks are taking over, so the huge losses of Japanese banks are certain.
Right now, even the German Industrial Bank has announced a profit warning. It seems that the real estate in the United States has completely collapsed, and the subprime mortgage crisis has begun to spread to the world!
Just a few days later, news came again from the United States that the American Housing Mortgage Investment Corporation officially applied to the court for bankruptcy protection on August 6, becoming another large mortgage lender in the United States to file for bankruptcy after the New Century Financial Corporation. .
As soon as the news came out, a thousand waves were shaken, causing a huge shock in the United States, and the US stock market plummeted!
Just the next day, Bear Stearns, the fifth largest investment bank in the United States, announced that two of its funds had closed down, also due to the subprime mortgage storm.
This time, the U.S. stock market plummeted across the board, and the American stockholders collectively panicked!
"It's over, I bought so many funds and stocks, and now I have huge losses!"
"Oh, God, the real estate bubble burst and the subprime mortgage crisis came. Didn't my previous investment go to waste?!! I'm going to become a pauper overnight!"
"It's over, I'm completely over, I owe so much debt, how can I pay it off?"
Many people heard the bad news and fell to the ground.
This is not the most desperate time, and bad news comes one after another! ! !
On the third day, BNP Paribas, the largest bank in France, announced that it would freeze three of its funds, also suffering huge losses from investing in U.S. subprime bonds. This move can not help but cause European stock markets to tumble, and most of the world's stock indexes fall! Metal crude oil futures and spot gold prices plunged sharply!
Central banks around the world injected more than $500 billion to rescue the market within 48 hours, and the Federal Reserve injected $60 billion into banks three times a day to stabilize the stock market.
This rescue effort is not too big, but unfortunately, it did not play a role in saving the market.
A few days later, Japanese and Korean banks also suffered losses due to the subprime mortgage storm in the United States. Among them, twelve losses, including Mizuho Bank, Japan's second largest bank, exceeded US$25 billion. In addition, five Korean banks, including Woori, invested a total of $5 billion in secured debt obligations (CDOs), which also suffered heavy losses!
The next day, the three major central banks of the United States, Europe and Japan once again injected more than 100 billion US dollars to rescue the market.
Asia-Pacific central banks are once again betting on the banking system.
However, the subprime mortgage crisis cannot be contained.
On August 16, the stock price of the largest commercial mortgage company in the United States plummeted and faced bankruptcy! The U.S. subprime debt crisis worsened, and the Asia-Pacific stock market suffered the worst decline since 9/11!
Li Zetian watched the fire from the other side of Hangzhou, and looked at the flowers in the courtyard, and had to say "wonderful".
It's just that this subprime mortgage crisis is so easy to save the market, not to mention, I have shorted so many stock index futures... especially Japan!
A sneer appeared on Li Zetian's face.
Japan is indeed very miserable, and it is about to be played to death by Li Zetian.
On August 20, the Bank of Japan injected another 1.6 trillion yen into the banking system.
The next day, with the Japanese stock market crisis still unresolved, the Bank of Japan had to inject another 1 trillion yen into the banking system.
When Li Zetian saw that the Bank of Japan injected capital into the banking system again, he couldn't help but be surprised: "Hey, the Japanese government is awesome, it's so rich! Isn't my brother not ruthless enough?!"
Li Zetian suddenly complained about himself.
The Japanese government is exhausted and miserable. The bottom of the government's financial reserves is about to be wiped out. The entire country's economy is in disarray, with companies going bankrupt, workers being laid off, and shareholders mourning everywhere. The economy seems to be going backwards for many years.
On the US side, the Federal Reserve injects a large sum of money into the financial system almost every day. This made Li Zetian sigh that the Federal Reserve really deserves to be the rich and powerful owner, he is the rich boss, I am not.
No way, the Federal Reserve is special for printing money, which can be called "the world's largest money printing machine". One is printing money, the other is making money, and the two are not the same level.
After more than two months, the subprime mortgage crisis is still not over.
The Federal Reserve and the US government were very helpless, and President Bush suddenly called Li Zetian.
"Hello, Chronos!"
"Hello, President, what's the matter?" Li Zetian asked, but he knew what was going on.
Although he was not in the United States, he was the first to know what happened in the United States. At this time, the US government is encouraging banks and rich people to donate money to help the US market out of the subprime mortgage crisis.
In fact, Li Zetian wanted to say, donate you to paralyze!
However, if you do this, it will be realistic, and others will say, look, look, the richest man in the world is not benevolent, and everyone else donates money. He doesn't donate, how stingy!
Bush's pleading attitude was still very sincere and humble. He said with a smile, "Oh, that's right. This subprime mortgage crisis has affected the world and the US economy has been hit hard. Recently, the US Treasury Department helped major financial institutions set up a A $100 billion super fund to buy distressed mortgage securities. Still, that's not enough, so I hope you, Chronos Li, will be generous enough to help the market out of trouble!"
"Don't worry, Your Excellency, I am bound to do this! In fact, I don't have to take the initiative to bring it up, I will do it." As he spoke, Li Zetian changed the subject and continued, "However, Your Excellency President, if you want to come, you know it. , many companies in my name have suffered heavy losses in this subprime mortgage crisis... So, my power to help others is limited."
Li Zetian will give President Bush a shot first, don't you think that I will spend too much money, and my brother will "lose" a lot, okay
President Bush nodded and said, "Oh, yes, yes, I understand. However, if you can contribute, it is still good. The US government and the American people will thank you!" President Bush had a small calculation in his heart, Secretly, as long as you stand up, you are too embarrassed to pay a little money
Li Zetian pouted, not knowing what President Bush was thinking.
At this time, Li Zetian was calculating in his mind how much money he should donate.
"Which companies are willing to pay now?" Li Zetian asked.
"Several banks, including Bank of America, Citibank, Morgan Stanley, etc., said they agreed to at least $75 billion to help the market out of the subprime crisis."
"$75 billion? Well, in that case, I'll make up $25 billion to make up $100 billion!" Li Zetian had just finished speaking, and suddenly felt like a 250-year-old.
$25 billion is an astronomical sum for so many people!
$25 billion could make one of the top ten richest people in the world!
How many companies can $25 billion buy!
Why doesn't it make you feel bad
Mala next door, fortunately, my brother has made hundreds of billions of dollars from the United States alone, and the 25 billion dollars will be sent to the beggars by Lao Tzu and rewarded to the U.S. government!
When Bush heard the words, he was very happy. He kept thanking Li Zetian and said that he planned to give Li Zetian an award, the Presidential Medal of Freedom or the Congressional Gold Medal. Li Zetian said, "I'm shorting the US stock market. You are so funny. You even gave me an award. Well, it's very good. I like it!"
After the call with President Bush, Li Zetian immediately instructed Bank of Cronos to contact Bank of America, Citibank, Morgan Stanley and other banks to jointly raise funds for the super fund.
Of course, good deeds must be publicized, otherwise, the $25 billion will not be in vain.
It didn't take long for newspapers, TV, and the Internet to report that Li Zetian had generously donated 25 billion US dollars to rescue the market.
This wave of goodwill is really special 6, people all over the world can't help but give Li Zetian a thumbs up.
"As long as the U.S. subprime mortgage crisis is resolved, the financial crises in other countries will also be resolved. There are really not many people like Chronos Li in this world!"