Chapter 639: The Formation of Financial Markets
"How's going on the fat man's side. Jiang Chen asked Dongzi while eating.
Hearing Jiang Chen mention the fat man, Dongzi and the glasses suddenly became serious. Dongzi said to Jiang Chen: "During the period when you were not there, he sent us a total of three faxes to report on the progress of his side. However, because the matter was more important, he only said a few words on the fax. The first telegram, he said that he had already gone to Southeast Asia and began to prepare. The second fax said that the feast had begun, that he was seated, and that he was waiting for the start of the meal. The third fax was sent back recently. He said that everything went well, the dishes were very rich, and he was a little overwhelmed, so don't read it. ”
"Hehe, there really is him. Jiang Chen said with a smile: "This shows that this plan is going well, and it won't be long before he can come back." ”
"Yes. The glasses nodded and said, "Brother Chen, according to the fat man's meaning, we have taken a lot of money this time, what should we do with this money." If it is not handled well, it is easy to get into trouble. ”
"Huh. Jiang Chen waved his hand and said: "Compared with other international financial predators, we are just a small shrimp, and not many people will care too much about us." However, it is important to note in this regard. In this way, tell the fat man, don't be greedy, and take it when you see it. This time, the country was shaken so much, not only in terms of finance, but also in the stock market. It is believed that it will not be long before the country will take measures to maintain the stability of its financial market and stock market. Let him cash out as soon as possible, and then return the misappropriated principal back to the company's account as soon as possible, in case it is discovered, which will cause us trouble and affect our next plan. Then half of the proceeds of this time will continue to lurk in the Wa Kingdom. For example, in this real estate market, financial futures investment, if it doesn't work, invest in the stock market. I'll give you a list of companies or projects to invest in later. And then when the time is right, we're going to get started. The other half of the funds, you let the fat man transfer it out and exchange it for pounds, and then enter the European market. Now that the process of European integration has begun to become clear, the integration of financial and monetary markets will also be imperative as it develops. When the time comes, it's time for us to act. There is a part of the funds lurking in it, which can save us a lot of trouble when the time comes. After all, the temporary entry of funds can easily attract the attention of financial regulators. ”
"Okay, I'll contact him when I get back. Dongzi nodded.
The glasses next to him looked at Jiang Chen and said suspiciously: "Brother Chen, leave half of the funds in the Wa Kingdom for lurking." Do you think there will be similar turmoil in the Wa Kingdom?"
The turmoil in the Japanese state mentioned by the glasses is actually a series of reactions brought about by the signing of the "Plaza Accord". In the early 80s, the fiscal deficit of Laos and the United States increased sharply, and the foreign trade deficit increased significantly. The United States hopes to increase the export competitiveness of its products through the depreciation of the US dollar, so as to improve the imbalance in the balance of payments between Laos and the United States. So on September 22, '85, not long after that. The finance ministers and central bank governors of Laos, the United States, Japan, Germany, France, and the United Kingdom met at the Plaza Hotel in New York. An agreement was reached on the joint intervention of the governments of the five countries in the foreign exchange market to induce the exchange rate of the US dollar to depreciate in an orderly manner against major currencies in order to solve the problem of the huge trade deficit between Laos and the United States. Because the agreement was signed at the Plaza Hotel, the agreement is also known as the "Plaza Agreement".
After the signing of the "Plaza Accord", the above-mentioned five countries began to jointly intervene in the foreign exchange market and sold a large amount of US dollars in the international foreign exchange market. This led to a sell-off frenzy among market investors, which led to a continued sharp depreciation of the US dollar. In September '85, the U.S. dollar fluctuated between 1 U.S. dollar and 250 U.S. dollars, and in less than 3 months after the agreement was signed, the U.S. dollar quickly fell to about 1 U.S. dollar to 200 U.S. dollars, a drop of 20%. Since then, the US authorities, represented by the US Minister of Finance, and financial experts, represented by the then director of the US-Lao Institute of International Economics, have continuously verbally intervened in the US dollar, and the lowest price has fallen to 1 US dollar to 120 yen. In less than three years, the U.S. dollar has depreciated by 50% against the U.S. dollar, which means that the U.S. dollar has doubled.
In the 10 years since the signing of the "Plaza Agreement", the value of the Japanese currency has increased by more than 5% per year on average, which is tantamount to giving international capital investment in the stock market and housing market of the Japanese country a sure profit and no loss. In the nearly five years since the Plaza Accord, stock prices have increased by 30% per year and land prices by 15% per year, while the nominal GDP of the country has grown by only about 5% per year during the same period. The bubble economy is getting farther and farther away from the real economy, and although the per capita GNP of the Japanese people at that time exceeded that of the United States, the high housing prices in the country made owning their own housing a thing out of reach for ordinary Japanese citizens. It was not until '89 that the Japanese government realized the seriousness of the problem and began to implement a tight monetary policy. Then, although the bubble economy was punctured, the stock price and land price fell by about 50% in a short period of time, the banks formed a large number of bad debts, and the Japanese economy entered a recession period of more than ten years. The reason why Jiang Chen wanted to keep half of the funds in the Japanese country was because he saw the famous Japanese bubble economy in 1990. The severity and devastation of this economic bubble have been enormous, and it has even lasted for more than a decade, and there is still no sign of recovery in the Japanese economy. Of course, for businessmen, this means business opportunities, which means benefits. Although it can't be compared with those huge international financial tycoons, they eat some meat, Jiang Chen and they drink some soup, and Jiang Chen still has this confidence. What's more, he planned this matter in advance, and the odds are greater.
Jiang Chen nodded and said, "That's for sure, this shock will last for a while, and it will have a long-term impact on the financial market and stock market of the Japanese Kingdom and even the entire society." And these effects will gradually add up, and when a certain amount is reached, it will explode. At that time, the shock will be more ferocious than this time, and it will also be a very precious opportunity for us to accumulate capital, so we must prepare early and not miss the opportunity. ”
"I understand, but isn't it a bit of a waste that our funds are just sitting idle waiting for this plan. We don't know when this plan will come. The glasses were a little pitiful.
Jiang Chen naturally knew this time, but this must not be said, so he said to his glasses: "Who said, with the continuous fermentation of this turmoil, our investment in the industry of the Japanese Kingdom can also be carried out, and it is profitable." I believe that it will not be long before there will be a steady stream of international capital entering the country. Let's grasp the opportunity now, and we are not afraid that we will not be able to make money when the time comes. ”
"I see. Research nodded.
"Well, glasses, it's a great plan, and I think it's up to you and the fat man to take care of it. Last year I promised you a year, and this is almost due. I'm sure you're pretty much ready, and I'll ask them to contact you at Smith in the United States to apply for further education. After you pass, you can learn while you go, and then use the knowledge you have learned to practice, and I will let the fat man cooperate with you. Jiang Chen said with a straight face to his glasses.
The glasses clenched his fists, and then a few words popped out of his mouth and said, "Brother Chen, don't worry, I will work hard." ”
Hearing the words of the glasses, Jiang Chen patted him on the shoulder and said, "Hehe, I believe in you!" (To be continued.) )