On the 23rd, the market has felt the breath of blocking the Hong Kong dollar is a storm hunting, and the market is full of rumors, and the wolf is really coming!

However, what surprised David was that the Hong Kong government changed the monetary policy tightened two days ago to ensure the market supply of money, so as to ensure sufficient circulation in the market, and adjust the interbank lending rate back to normal.

This is greatly unexpected by the market, because according to the principle of financial leverage, speculators only need to use one Hong Kong dollar will form several times the impact, so want to repel the speculators who block the exchange rate, instantly form a high pressure in the market, in order to deal with such speculation, the usual situation is to tighten the monetary base, reduce the liquidity, reduce the liquidity of the interbank lending market, so as to increase the interest rate, increase the cost of speculators and cut off their supply to protect the Hong Kong dollar exchange rate. And this time it was completely abnormal, and it was greatly unexpected by the market.

The more abnormal it is, the more nerves are tensed among the traders in the market, and everyone knows that such an anomaly means that a big war is about to start.

Lu Zhengdong also arrived at the Hong Kong Government Finance Department early, which is the base camp of this operation.

The HKMA, as the "central bank" of Hong Kong, that is, the largest bookmaker, had to strictly adhere to the 7.75 mark in the foreign exchange market through the guò banking channel, because of the bottom line of 7.80, and as one of the main market makers in the market, Chinese institutions took the lead and received a lot of Hong Kong dollar selling. The exchange rate was quickly pushed down to 7.74, triggering a large number of stop-loss orders from speculators, which helped the HKMA to increase the exchange rate of the Hong Kong dollar.

But this is just the beginning of the temptation, speculators do not stop there, continue to sell a large number of Hong Kong dollars in the market, the two sides back and forth, between 7:70 and 7:75 to start a tug-of-war, almost 11 o'clock in the morning, suddenly there is a huge amount of selling. As a result, there was a vacuum in the market, and the exchange rate suddenly broke through the 7.75 mark, reaching a high of 7.6. But it was immediately pushed back again. By 11 a.m., when the US dollar closed against the Hong Kong dollar, the pair was still hovering below 7.74 and never crossed the 7.75 mark.

Lu Zhengdong was also dazzled, and the two digits after the decimal point of the yuan were points. One penny and two cents, I'm afraid it's not worth a penny in the eyes of ordinary people, but in the foreign exchange market, for this penny and two cents to compete. Both sides have invested huge sums of money and earned their lives. Because behind this one or two points means millions of profits or losses.

Lu Zhengdong did not know how much money the Chinese-funded institutions had invested in the morning, but the Chinese-funded institutions withstood the bombardment of the "air force" speculators in the morning.

However, Lu Zhengdong also knows that in order to protect the stock market, the HKMA has not cut off the source of funds for these speculators, but the speculators have a source of funds, and the main funds of the HKMA have not been moved at all, and the afternoon is the time for real hand-to-hand fighting.

At noon, the HKMA took the lead and announced that it would buy Hong Kong dollars for the Hong Kong Treasury. At 7.75 Hong Kong dollars per dollar, he directly intervened in the market and bought all of them at the selling price of 7.75 Hong Kong dollars. caused the speculators to shout injustice. However, the HKMA said that the Hong Kong government has adopted an expansionary fiscal policy. Budget bigger. Every summer, when the treasury depletes its Hong Kong dollars, government spending has to go to the money market to exchange US dollars for Hong Kong dollars. At the right time. When the seller sold a large amount of Hong Kong dollars, the HKMA naturally bought a large amount for the government, because this purchase of Hong Kong dollars was not for the HKMA itself, but for the Hong Kong government, i.e. the national treasury, so it did not violate the strict regulations of the monetary authority, and the speculators had no choice but to do so.

This is the advantage of the dealer, in the morning is the second dealer is resisting, the big dealer is just a small test, and now the big dealer is finally murderous into the market!

But the international speculators did not stop resisting, Lu Zhengdong felt a little strange, and asked Mr. Ke, the Hong Kong government has already sent a clear signal that it wants to give them a go in the foreign exchange market, why are the international speculators still trapped?

Mr. Ke smiled and said, they also have a backhand, they use the method of short selling the forward Hong Kong dollar to raise the forward exchange rate, and the HKMA did not block their shells, they must struggle, first, in order to reduce the loss of liquidation as much as possible, second, they have to fight back in order to pull down the Hang Seng Index, not in the foreign exchange market, it is difficult for the Hang Seng Index to go down according to their expectations, and third, they must have understood that the Hong Kong government focuses on the stock market, and is fighting on two fronts, in their opinion, fighting on two fronts is always very difficult. According to Guò's calculations, once the Hong Kong government fails to maintain the linked exchange rate, the Hong Kong dollar can depreciate by 30%, and speculators can get 30% of the exchange rate difference, which is an extremely attractive profit.

Lu Zhengdong nodded, and focused on the stock market, which was the main goal of both sides.

In terms of the stock market, as soon as the market opened in the morning, the Hang Seng Index still fell slightly, and the stock sales of speculators began to continue to release steadily, trying to pressure the Hang Seng Index to continue to accelerate its decline, triggering the panic psychology of the crash, so that countless scattered people who joined the escape helped him to suppress the index, but the decline of the Hang Seng Index in the morning was indeed not small, but because the interest rate remained at a very low position, the pressure on the stock market was not great, and it did not form a crash-like decline.

In terms of the foreign exchange market, although the speculators tried their best to throw out the Hong Kong dollar, even regardless of the cost, the Hong Kong government did not refuse to come, and the speculators never broke through the defense line laid out by the Hong Kong government.

Lu Zhengdong saw Mr. Ke nervously watching the progress of the transaction, and then smiled:

"Speculators have become frightened birds and are looking for a way out. Now as long as the heavy troops attack, it may cause the speculators to retreat on all fronts, and it is time to fight the speculators in close combat! It's time to make a move! ”

The HKMA, which has been on the defensive, finally began to fight back, not only buying Hong Kong dollars on a large scale, but also using the Exchange Fund to sell US dollars, and other Hong Kong-funded institutions began to throw out US dollars, so that the exchange rate quickly hit the stop loss level of speculators, speculators did not expect that the Hong Kong government would be so bold, and when they were forced to buy Hong Kong dollars, they also threw out US dollars in a big way, and there was no preparation for this at all. Wave after wave forced the pair to go all the way again, and within an hour the dollar reached an astonishing low of seven dollars and a half.

"This time they lost a fortune! At 7.5 yuan, the dollar has reached an all-time low, and it is time to buy. ”

As he spoke, the dealer began to buy a large number of them again, which was in response to the phrase "fall fast, rise fast". The dollar quickly began to soar again, returning to above $7.7 again in a short period of time. And the Hong Kong government bought back the dollars that were used to buy Hong Kong dollars and threw them back.

"Dollars in just a few hours. The exchange rate of the US dollar has fluctuated by more than 6 percent, which is rare for the Hong Kong dollar to be linked to the exchange rate for more than a decade, and I am afraid that the old financiers who have been engaged in trading for decades will not understand it. These guys are really bad people. ”

Lu Zhengdong nodded, fighting for a penny or a penny. Not to mention that when the gap is the largest, it is almost two cents and six, and the speculators must have lost a lot, and on this day, the dollars of the Hong Kong government and Chinese-funded institutions are like chickens and ducks, released to forage for food. Those who are well fed go around. Completely back in the chicken pen, the HKMA is now very much in the dollar, and there is no point in attacking again.

Lu Zhengdong also felt a lot of emotion, he also talked about it on a macro level, this seems simple, but the thrilling is really difficult to describe with pen and ink, during which the funds used, accurate judgment, timing grasp, bait arrangement and so on. All of them are extremely demanding, and this is the same for both sides.

No matter what. Between such a drop and a rise, the speculators suffered heavy losses in this battle. Win the battle to defend the Hong Kong dollar!

With this, this time the Hong Kong government is already invincible.

And in the stock market. Due to the stalemate in the foreign exchange market, Soros and other international speculators also realized the severity of the matter, they were obviously nervous, and the stock market also set off a frenzy of selling, at this time it was simply regardless of the cost, even if it was a loss, they did not care about the loss or profit of the stock, because they had to short the Hang Seng Index contract.

In fact, after figuring out the path of Soros and other speculators, it is not difficult to understand the principle of their making money, and the main condition is that there must be enough funds as support and choose a good time to manipulate the market. Use a portion of your funds to buy stocks, especially indices, on a continuous basis, regardless of the cost.

When the stock index reaches a high level, a large number of short selling orders for stock index futures are opened.

Then all you have to do is start from the highs and resolutely push the stock index lower, and the stocks that are sold are usually profitable, but not the main source of profits. The real profit is mainly in the short selling of stock index futures.

And to accomplish this task, it is necessary to use the market to follow the trend, and all market participants will become the driving force - when it rises, it helps to rise, and when it falls, it helps to fall.

Soros and other speculators gave it a go at this time, the purpose was to cooperate with other things and guide the market to follow the trend, and this frenzied smashing coupled with Soros's name finally had an effect, and the Hang Seng Index finally began to leak rapidly in a short period of time.

Lu Zhengdong looked at the declining Hang Seng Index, and couldn't help but sigh in his heart that the market value of the domestic stock market is too small compared to large international funds and is easy to be manipulated. That's why the free exchange of renminbi has been restricted, which is to block the possibility of foreign capital freely participating and withdrawing. As long as the government's administrative intervention does not stop, any foreign investment will be frightened, which is why the Hong Kong government has not wanted to directly enter the market to intervene in the stock market......

While Lu Zhengdong was pondering, it didn't take long for the downward speed of the stock market to slow down significantly......

Lu Zhengdong looked at it and said:

"It should be the results of the foreign exchange market that have reacted to the stock market."

Mr. Ke nodded and said:

"Their failure in the foreign exchange market not only made them lose a lot, but also destined to become the subject of the stock market rebound, and the mysterious funds that appeared in the stock market yesterday made them sleep, so they also can't see hope in the stock market, and not seeing hope means despair, at this time their idea is not to make money, but how to minimize losses, so some people began to turn back, buy back stocks and immediately empty their own futures index short orders, so that the downward pressure on the Hang Seng Index is much smaller......"

Lu Zhengdong nodded, maybe there is no need for mysterious funds to make a move today, because the Hong Kong government has locked the speculation to short sell the Hang Seng Index to open a position, this guy is really too big, the bet is that the Hang Seng Index plummeted, and the current index is still quite far from speculators making money, which the Hong Kong government is staring at closely, the purpose is not to let its arbitrage, and the Hang Seng Index is at a high level, this is always a heart disease, such a slow downward movement, squeeze out of the bubble, and not cause a big panic, is exactly what the Hong Kong government expects, As long as the Hang Seng Index does not fall below the psychological tolerance line set by the Hong Kong government, there is no need to enter the stock market intervention on a large scale.

By this time, international speculators had failed miserably in the foreign exchange market. The general trend of the stock market has gone, and the Hang Seng Index bucked the trend at the close, rising by 120 points......

This is completely different from what Lu Zhengdong remembers. It seems that this wave of attacks is from the 21st to the 23rd, the Hang Seng Index fell by more than 3,000 points, and on the most violent 23rd, the market value of Hong Kong's listed companies lost more than 400 billion Hong Kong dollars in one day. The stock market decreased by more than HK$1.5 trillion compared with the Hong Kong dollar at its peak market capitalisation in August...... In short, at that time, the Hang Seng Index continued to plummet, and the decline was fierce and the losses were huge, shocking the world.

And this time it's completely different. The stock market is over, just four days ago. The Hang Seng Index also fell by less than 1,000 points, which can just be watching the stock market adjust in shock. Not only did Soros and other speculators return home, but the stock market did not form a stock market crash, and the Hong Kong government did not directly take administrative intervention in the market and personally participated, and this time it greatly boosted people's morale, which is already the best result.

Compared with the previous series of tables, Soros is really too vegetable, and he is completely beaten. I'm afraid that Soros has also experienced the taste of Southeast Asian countries at this time, and of course Lu Zhengdong also knows it. The reason why Soros lost completely this time was because he had even seen his hole cards before. Soros and others are completely following the baton of the Hong Kong government, and the Hong Kong government has made full and very targeted preparations. and took unexpected measures to win so easily. Lu Zhengdong still knows very well that although Soros returned home this time, he has not suffered a major injury, he is still an extremely dangerous person, and he is still a big trouble in Hong Kong.

But no matter what, defeating Soros and other speculators who were shrouded in an invincible aura before, and winning so neatly and beautifully, tomorrow is definitely the heavy news of the world's major media, so naturally it is necessary to celebrate, and the people in the financial department have gone to the hall to open champagne.

"Mr. Lu, Mr. Lu has contributed a lot to winning so beautiful this time."

The heads of the Financial Secretary and the HKMA walked in, raised their glasses and touched him, although both of them were more introverted people, but their slightly haggard faces also revealed excitement.

Lu Zhengdong smiled and shook his head:

"Look at your haggard appearance, look at my red face, you know that you are really hard, and you really do a very beautiful job, if you really want to say that you have a lot of credit, but there is a person who ......"

"Who?"

Both of them were a little puzzled, and asked almost in unison.

"Soros."

The two of them couldn't help but laugh when they heard it, and Lu Zhengdong said with a straight face:

"I'm telling you the truth, Soros made a strategic mistake, he should take the power of a big victory in Southeast Asia, adopt the blitzkrieg tactics of Germany back then, and attack in foreign exchange, stocks, and futures as soon as he comes up, instead of taking such a tentative way, such a three-pronged all-out onslaught, think about it, can we hold the three markets? Once one is broken, they will have achieved their goal......"

The two thought for a while, and then the person in charge of the Financial Secretary said:

"That's very difficult, to be honest, none of us have ever dealt with such an experience related to the fate of a city, I'm afraid it's difficult to take care of it."

Lu Zhengdong nodded and said:

"It is actually reasonable for Soros to make such a mistake, although he is firmly focused on Hong Kong, but he still lacks confidence, one is because Hong Kong's fundamentals are good, and the other is that there is a central government behind it that holds the world's second largest foreign exchange reserves, and they do not dare to attack as soon as they come up, for fear of losing their money. Therefore, he had to test the SAR government's ability and strategy to deal with the crisis, whether it would carry out 'administrative market intervention', what the 'limits of intervention' and weaknesses were, so as to adjust the attack strategy, intensity and methods in a timely manner. In fact, this is still a matter of strength, and it is precisely because they think they have strength that they will be afraid. ”

Of course, Lu Zhengdong has another reason for Soros to be afraid, that is, the central government has always been not afraid of ghosts and does not believe in evil.

"However, they will still come, because in their eyes, the nature of Hong Kong as a big piece of fat has not changed, and the weakness of Hong Kong's financial market has not changed......

"Mr. Lu is too polite, just say anything."

"Although this time the victory, but the pattern has not changed, Hong Kong can only be chased by the other side, the linked exchange rate is one of the core of Hong Kong's finance, this must be guaranteed, and the two want to directly take administrative measures as much as possible to intervene in the stock market and other markets, this is a pair of contradictions, want to keep these two basic things, passive beating is ultimately difficult to achieve both.

In order not to be beaten passively, it is more effective to directly block them from speculating in the Hang Seng Index than to directly block the opponent's attack on the linked exchange rate. The new requirements for foreign exchange and securities trading and settlement, such as the reduction of the number of large positions to be reported, the introduction of mandatory reporting, and the reporting of the identity of the holders of a large number of positions to the Futures Exchange, have restricted speculation by speculators.

It is the responsibility of the financial departments of all countries in the world to carry out reforms from the technical level, and they are not ridiculing the ineffective financial management of Southeast Asia, so they should start from this aspect, not only to gag their mouths, but this will have a much smaller impact than direct intervention in the market, and then make a plan for the future development of Hong Kong's economy as a whole............

Of course, this is entirely my personal personal opinion and in no way represents any other official ......"

This is the real blocking of the back door of international speculators, so that the speculation of speculators is greatly restricted, Lu Zhengdong's construction has obviously attracted the attention of the two heads of finance and finance, the reason why he proposed at this time is because his previous judgment has been completely verified, and now it is really convincing...... (To be continued.) )