0611 The Danger of Going Long

In the face of this life-and-death situation, Mr. Brown, the president of Bear Stearns Investment, quit, and originally Bear Stearns came to participate in this world offshore financial war to help Qiao Tianyu.

didn't expect to be busy and didn't help much, but Bear Stearns fell to the point where his life is hanging by a thread.

What's even more infuriating is that Qiao Tianyu, who still has a lot of trading funds in his hands, seems to be nothing, ignoring Bear Stearns' danger, which is too uninteresting!

Thinking of this, Mr. Brown rushed towards Qiao Tianyu like a crazy bull, scolding, and had a life-and-death posture with Qiao Tianyu!

Seeing that Mr. Brown was crazy, Rubin and Sanchez and others hurriedly rushed over to intercept him, but Mr. Brown had already gone crazy and came up and fought with Rubin, Sanchez and others, and the entire underground trading command hall was also a mess.

"Good! great!"

And at this moment, Yamaki Kobayashi Lang also learned through the phone that Qiao Tianyu's side was already in a mess, and he was about to jump up happily.

The exchange rate of the Italian lira can be mobilized so easily, can it be said that Qiao Tianyu is really undefended?

Yamaki Xiaolin Lang was overjoyed in his heart, if this was the case, then Qiao Tianyu would lose today because he was too careless!

Thinking of this, Yamaki Kobayashi Lang couldn't hide the ecstasy in his heart, he couldn't wait to give the order to press on all fronts, and put the five major investment banks on Wall Street to death!

However, just a second before Yamaki Kobayashi Lang waved his hand and gave the order to attack on all fronts, a thought suddenly flashed through Yamaki Kobayashi's mind.

"Oh, that's not right!" Yamaki Kobayashi frowned and thought to himself.

"Bear Stearns doesn't have the trading funds to deal with Yamaki Kobayashi's long on the Italian lira, but what about the Bank of Italy? Why hasn't the Bank of Italy moved at all?"

You must know that one of the most important tasks of a country's central bank is to intervene in the international foreign exchange market to protect the stable and orderly development of its own exchange rate.

Nowadays, in the international foreign exchange market, the Italian lira is crazy long, and the lira exchange rate is soaring, but why does the Bank of Italy not even move at all?

You must know that it is much more dangerous for a country's central bank to be "long" than to be "shorted"!

Although in the eyes of the world, the most feared thing about a country's central bank is to be attacked by financial vultures.

After all, whether it was the Bank of England in 1992, the Bank of Italy in 1993, the Bank of Mexico in 1994, the Bank of Thailand in 1997, the Bank of Korea, the Bank of Japan, and so on.

Until the 2949 Huaxia Central Bank before Qiao Tianyu's rebirth, central banks of various countries suffered from being shorted by financial vultures, and no central bank was attacked by financial vultures.

But then again, just because there is nothing does it mean that it can't be, and theoretically speaking, a country's central bank being long is the same as being shorted, and a country will suffer.

Moreover, from the perspective of a country's economic development and foreign trade, the harm of a country's central bank being long is far greater than the harm of being shorted, and it will even cause a devastating blow to a country's economic development, which is by no means alarmist!

Let's take a simple example.

When a country's currency is long, that is, financial vultures frantically buy a country's currency in the international foreign exchange market, resulting in a situation where the demand for the country's currency in the foreign exchange market is far greater than the supply.

Under the influence of the most basic economic principles of supply and demand, the country's currency will inevitably have an exchange rate that rises and the value of the currency becomes more valuable, that is, the country's currency appreciates relative to the currencies of other countries.

This means that in international trade, goods produced in one country are more expensive for the same type of product than those produced in other countries, if converted into the same currency, such as the US dollar.

Then the country's goods will be less competitive in the international market because of the relatively high price, which will cause the country's goods to be abandoned by the international market, and in the long run, it will have a devastating blow to the country's foreign trade and domestic production!

And this is also a living example.

In the 70s of the 20 th century, Japan's economy rose to the occasion and was on the verge of catching up with and surpassing the United States, which frightened the Americans at that time.

Later, the Americans tied up the Japanese through the "Plaza Agreement", and under the framework of the Plaza Agreement, the yen was forced to appreciate rapidly and sharply.

The sharp appreciation of the yen burst the bubble of the Japanese economy, and finally dealt a fatal blow to the Japanese economy at its peak.

Therefore, if a country's currency is shorted, it may recover in three or five years, but if a country's currency is long, the consequences will be much more serious!

Of course, it is no secret that a country's currency is so harmful that it is long, and this is exactly what Yamaki Kobayashi can't figure out.

Although the overall economy of the Italian country is not bad, the Bank of Italy is not all sticks, and there must be people who understand.

But why has the Bank of Italy remained indifferent in the face of the lira's crazy longs and the country's economic fate hanging by a thread?

Something is wrong! Something is wrong!

This thought flashed in a flash of inspiration, and it really scared Yamaki Kobayashi Lang a big heel.

Could it be that Qiao Tianyu has already discussed with the Bank of Italy, and they are going to give a set to Yamaki Kobayashi Lang together?

Thinking of this, Yamaki Kobayashi Lang was shocked into a cold sweat, and he didn't dare to be careless, and Yamaki Kobayashi Lang immediately turned his head to look at Mr. Filton on the side.

As the vice chairman of the Federal Reserve, and most likely to become the next chairman of the Federal Reserve, Mr. Filton has an extremely prominent background, so he naturally has the ability to speak directly to the top of the Bank of Italy.

In addition, the United States has always been the boss and leader of Western capitalist countries, and the other capitalist developed countries have obeyed the orders of the United States and never dared to deceive in the slightest.

Thinking of this, Kobayashi Yamaki quickly told Mr. Felton about the severity of the matter, and asked Mr. Felton to help contact the top of the Bank of Italy.

Mr. Filton was also shocked when he heard this, knowing that the stakes were high, and the slightest carelessness could affect the final trend of the entire world offshore financial war.

Therefore, Mr. Felton did not dare to slack off, and immediately took out his mobile phone and dialed the number of Mr. Dino, the governor of the Bank of Italy.

However, as soon as the phone was dialed, a mobile phone shutdown tone came from the other end of the phone, and Mr. Dino turned off the phone.