Chapter 0155: The Financial War of the Century 2

"Hurry up and redeem U.S. Treasury bonds and increase your U.S. dollar cash reserves to deal with a financial war that may break out at any time!" Qiao Tianyu tapped the ground with his cane.

"What the teacher is teaching!" Wang Mingkai nodded again and again, "The student has long wanted to redeem the US Treasury bonds, but he ...... it."

"But what is it?" Qiao Tianyu saw that Wang Mingkai seemed to have something unspeakable, and hurriedly asked.

Wang Mingkai hesitated for a long time, and finally leaned into Qiao Tianyu's ear and whispered.

"Teacher, this is not almost a centennial celebration, everything has to make way for the centennial celebration. If the large-scale redemption of US Treasury bonds were to be made at this juncture, it would inevitably cause panic in the market and cause turmoil in the financial markets, which would be detrimental to the current stable situation, especially if the 'one-day currency war' was repeated. ”

So the above means that this is kept secret in advance, focusing on stability, and everything will be said after the centennial celebration. ”

"A one-day currency war?" After Wang Mingkai woke up, Qiao Tianyu's back was cold, and he couldn't help but shiver.

Wang Mingkai's worries are not unreasonable, this is a bloody lesson!

On the evening of December 18, 2006, the Bank of Thailand ordered the implementation of a series of measures to implement interest-free foreign exchange deposit reserves from the next day, so as to increase the cost of hot money, ease the pressure of Thai baht appreciation, and prevent the recurrence of financial tragedies when hot money enters and then goes out.

On the 19th, the Stock Exchange of Thailand Index (SET) plummeted by 14.84%, and the market value evaporated by $23 billion, and the Bank of Thailand was forced to announce the cancellation of the above control measures on the same day.

Unlike the Asian financial crisis in 1997, when the Thai baht plummeted due to the withdrawal of hot money, this time the Bank of Thailand intended to take a "preventive shot", but because the international hot money power was too huge and lost one day, it was shocking, and the dignity of a country disappeared in an instant!

If China AMC redeems US Treasury bonds on a large scale and increases its US dollar cash reserves at this time, it will be tantamount to not recruiting itself to international hedge funds, and China AMC's US dollar cash reserves are insufficient.

At that time, international hedge funds can unscrupulously lead huge amounts of international hot money to launch a financial war against China, and Huaxia Finance will have no power to fight back, which is really not a good move!

In 2049, although China's foreign exchange reserves have reached 5 trillion US dollars, most of them exist in the form of US Treasury bonds and fixed asset investment in developed countries, and there are not many US dollar cash reserves that can really cope with financial wars.

In fact, it is not difficult to understand that the foreign exchange that the Chinese people have worked so hard to earn cannot be put in the treasury and allowed to depreciate with inflation, right?

Therefore, most of the huge foreign exchange reserves held by the state have increased in the form of various foreign bonds and fixed asset investment, which can at least play a role in maintaining value.

"But teacher, I don't think there's anything to worry about too much. Wang Mingkai then explained.

"After all, U.S. Treasury bonds are backed by the U.S. federal **, and the liquidity is extremely strong, if international hedge funds really want to launch a financial war against China, let's immediately cash out U.S. Treasury bonds, 3 trillion U.S. Treasury bond reserves, which is enough for those financial vultures to drink a pot!"

Although Wang Mingkai said this, Qiao Tianyu knew him too well as a student, if things were really that simple, I am afraid that he would not have to invite himself out of the mountain today.

"I'm afraid that the United States will not be able to withstand the impact of the financial vultures at that time! Besides, if you kid didn't have this worry, you wouldn't have lifted me out today, right?"

Qiao Tianyu's worries were right.

In 2049, international hedge funds, known as "financial vultures", control up to $20 trillion of speculative funds worldwide, and there are huge international hot money of up to $100 trillion behind them, which is also powerless for the United States, which has less than $10 trillion in cash reserves.

"Hmm......" Qiao Tianyu's words hit Wang Mingkai's seven inches, and sweat climbed up his forehead again.

Although the dollar still dominates the international financial community in this era, and there has never been a problem in the 100 years since the Second World War, there is a first time for everything......

"Teacher, I really can't hide anything from your eyes. Wang Mingkai wiped the beads of sweat from his forehead.

"Since yesterday, there have been a number of hundreds of billions of dollars in the U.S. Treasury market, and as of just now, the total number of U.S. Treasury bond sell orders has reached $1 trillion. ”

"And we've just gotten inside information that the U.S. Treasury and the Federal Reserve are in urgent discussions in response to a market run. ”

"What?$10,000 sell order?Why didn't you say it earlier?!" Qiao Tianyu suddenly became even more nervous, "It's broken! Something big is going to happen! Ming Kai, you hurry up and ......"

"Chairman, Chairman, something has happened!"

However, at this moment, the exclamation of an analyst in the command center interrupted Qiao Tianyu's deployment.

Everyone followed the analyst's gesture and looked at the big screen in front of them, on which a bombshell news from CNN was inserted.

"The Federal Secretary of the Treasury and the Chairman of the Federal Reserve have just issued a joint statement that in view of the recent abnormal volatility in the federal Treasury market, the Federal Treasury Department and the Federal Reserve have decided to suspend Treasury bond trading and suspend the redemption of federal Treasury bonds......."

"What?" the bombshell news immediately exploded in the command center.

Everyone understands the significance of this news, the US Treasury and the Federal Reserve have suspended the redemption of US Treasury bonds, which will mean that all of China's US Treasury bonds of up to 3 trillion yuan will not be able to be realized in a short period of time.

"It's broken!" Qiao Tianyu was the first to react, "The financial vultures are about to start a financial war!"

However, history seems to have played a big joke on Qiao Tianyu again, and unfortunately this time it was said by Qiao Tianyu again.

As soon as Qiao Tianyu's words fell, the four major financial market monitors around the command hall all sounded the alarm, starting from the crazy **** in the foreign exchange market, the bond market, the stock market and the futures market have also joined the selling.

The four major financial markets were all in the green, followed by the bond market and the stock market, the futures market saw a huge short contract, and the RMB exchange rate plummeted, approaching the lowest line of the floating range.

Everyone in the command hall was stunned by what they saw, and although most of them had experienced the onslaught of financial vultures a few times, none of them had ever seen such a terrifying scene.

Everyone was at a loss for what to do, and even Wang Mingkai, who was known as the "Godfather of Chinese Finance", was stunned for a while.

"Don't panic! Don't panic!"

Qiao Tianyu, who had seen a lot of big scenes, calmed the scene with his steady voice, he picked up his crutches and pestle a stunned Wang Mingkai, "The situation of the four major financial markets!" ......