Text Chapter K5 The Great War in Hong Kong Breaks Out
Every time the wind comes, it can be followed by a huge tsunami.
The wind is but a temptation!
Hong Kong, an important support point of the international financial industry and the most important financial center in Asia, is definitely not comparable to ordinary "people" in the financial industry in Asia and even the world. Don't look at Singapore, the newly rising Asian financial center, which is very "jumping", and it seems that there is a tendency to catch up with Hong Kong, but if you don't blow it up, Singapore wants to catch up with Hong Kong - it's really a dream.
Young people are young people after all, how can they compare with "old drivers"?
Hong Kong is an absolute "old driver" in the ranks of the world's major financial centers, and it is really wishful thinking for Singapore to surpass Hong Kong. This is also the reason why this time in the Asian financial turmoil, Singapore was made so miserable by X Fund, and the impact on the whole of Asia is still very little.
In a word, Singapore's current influence is only effective in the Singapore-Malaysia-Thailand region and Southeast Asia, and it is still a lot worse to spread to the whole of Asia.
However, Hong Kong is different, the status of "big brother" that has been established over the years is really not given in vain, and its strength is definitely not comparable to Singapore, let alone Thailand, Malaysia and the Philippines.
However, no matter how strong Hong Kong is, since this "Asian financial tsunami" has been lifted, there is no reason why X Fund and financial speculators should not give it a try. You must know that although it is very difficult and dangerous to attack Hong Kong, there are both benefits and risks, and once Hong Kong is successfully defeated, the huge benefits brought are really immeasurable.
50% of the profits are worth the risk, 100% of the profits even dare to trample on all the laws of the world, and 300% of the profits dare to commit any crimes, even the risk of hanging.
In the face of sufficient benefits, all risks are not a problem.
You must know that the benefits of this financial war are not just 300%, and 30,000% can't be stopped, so what can stop capital from moving forward?
No!
This is also the reason why Su Chenyu pulled all the "main forces" of the X Fund to Hong Kong, since he was going to fight, he naturally tried his best to complete the battle.
In fact, the strength of Fund X is not weak at all, and even if you talk about financial strength alone, Hong Kong is slightly inferior. You must know that the financial speculators on the X Fund side and the international travel capital can mobilize as much as 3 trillion US dollars, which is definitely a figure that can crush Hong Kong in an instant.
However, the $3 trillion is virtual, on the contrary, the policy stick in Hong Kong's hands is real, not to mention that behind Hong Kong there is a real "big man" - Chinese mainland.
Quite simply, once the mainland fully supports Hong Kong, coupled with Hong Kong's own strength, then Fund X will definitely lose.
In his previous life, Soros saw the mainland's determination to support Hong Kong, and finally had to evacuate Hong Kong with a strong man, so that Hong Kong won the "financial defense war". Otherwise, if there is no stubborn support from the mainland, even if Hong Kong's strength is much stronger than Singapore's, it will inevitably end up in a miserable situation.
Su Chenyu naturally knows that the country will definitely support Hong Kong, but he can't help but eat these interest cakes on his lips, right?
What's more, Su Chenyu has another set of plans......
For Hong Kong, the "leader" of Asian finance, it is naturally impossible for Fund X to be stubborn and stubborn as soon as it comes up, and it has to test the real strength of the other party and its determination to participate in the war.
Therefore, as a "pioneer", the quantum fund took the lead in choosing to do it on the most familiar foreign exchange battlefield!
The Great War broke out in an instant......
As a result, in the London foreign exchange market, a Hong Kong dollar worth 10 billion US dollars was sold off aggressively, instantly hitting the exchange rate of the Hong Kong dollar to the level of 7.69 to 1.
This stabbed the pain point of Hong Kong!
I have to say that this stab is really accurate, because the Hong Kong dollar implements the extreme exchange rate form of the linked exchange rate, that is, the Hong Kong dollar closely follows the US dollar, the US dollar is the standard currency of the Hong Kong dollar, and the Hong Kong dollar is the shadow currency of the US dollar.
7.8 to 1 is the benchmark exchange rate of the linkage between the Hong Kong dollar and the US dollar, and it must not be broken, but it was punctured all of a sudden, and it can be said that it stabbed the "hornet's nest" in an instant.
At the same time that the Hong Kong dollar was being heavily suppressed in the London foreign exchange market, Hong Kong's Financial Secretary, Donald Tsang, and the Secretary of the Monetary Authority, Joseph Yam, could not sit still. It's no wonder that Tsang and Ren Zhigang can't sit still, mainly because the financial turmoil in Southeast Asia is indeed too scary, making Southeast Asia and Northeast Asia a mess and full of sorrow.
It is also from the "foreign exchange battlefield" landing, how can Hong Kong not feel the bloody wind of this "financial turmoil"?
Panic, or panic!
That's why Fund X wants to leave Hong Kong, the strongest and most lucrative city, last, by exploiting the misery of Southeast Asia and South Korea to create a huge panic. Thus, when the X Fund launches the "Hong Kong Campaign", it can achieve twice the result with half the effort, and it can also ......
In fact, it is also true that in order to prevent the situation from deteriorating further, Zeng and Ren, two Hong Kong financial and financial tycoons, decisively chose to face the battle on a large scale. Moreover, after analyzing the "evil deeds" of international financial speculators such as Quantum Fund in Southeast Asia, Donald Tsang and Ren Zhigang decided to focus on the foreign exchange market.
Therefore, the day after the London foreign exchange market shorted the Hong Kong dollar, Hong Kong announced its "entry into the war" - raising the interbank lending rate by 280% and strictly controlling the short-term lending quota.
I have to say that the method of raising short-term interest rates is really effective, because the interest rate of the Hong Kong dollar has increased, and the cost of lending Hong Kong dollars to financial speculators such as X Fund has suddenly increased, and it may not be possible to borrow. As a result, financial speculators can't afford to borrow Hong Kong dollars, or even can't borrow Hong Kong dollars, so naturally they can't continue to short Hong Kong dollars in the foreign exchange market.
This method is really "wonderful", so as long as it faces the attack of international financial speculators, the Hong Kong financial authorities will make a move to "raise interest rates" - known as "any move".
Not to mention, the "clever move" is "wonderful", and after "launching" "any move" four times in a row, the Hong Kong monetary authorities have really temporarily stabilized the exchange rate of the Hong Kong dollar and maintained the linked exchange rate system.
Thereupon......
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