Fang Hong asked: "How many practical US dollar cash assets do we have in the area of offshore funds?" ”

Hearing this, Tian Jiayi immediately replied: "Counting the diving funds, the total scale of the funds that have been put in place is 750 billion US dollars, and these funds are not leveraged, and they can be leveraged five times if necessary." ”

The scale of funds with five times leverage is 3.75 trillion yuan, which is almost the ultimate amount of funds at the same level as the scale of the country's foreign exchange reserves.

Fang Hong couldn't help but smile when he heard this number, and said lightly: "It is not enough to use so much money to leverage five times the leverage of 750 billion US dollars, of course, as much as possible, it is safer and safer to use other people's money to do your own business first, of which 700 billion US dollars are low-key and don't move, take 50 billion US dollars to come out for high-leverage operations, and leverage five-fold leverage to operate 300 billion US dollars." ”

For this game of foreign exchange war, Fang Hong almost has the absolute certainty of victory, because the advantage is too great.

As long as the onshore RMB market is stabilized and does not cause a panic run on foreign exchange, the international bears have no chance of winning, unless there are still internal ghosts and lurking in the headquarters, but even so, Fang Hong still has the ability to remedy and turn the tide.

That's why you have to use other people's money to do your own business, with a huge amount of $750 billion in offshore funds, it is impossible for Fang Hong to drag out all this money, especially the diving funds will not be exposed easily.

Take $300 billion out, and the actual principal of this money is $50 billion, and the rest is all leveraged funds.

If the opponent ignores the rules of the game and plays hooligan, he directly freezes your $300 billion or even confiscates it, Fang Hong will lose up to $50 billion, and as for the leveraged funds, he will not repay a penny and collect debts? Go to Lao Mei to chase it, the money was frozen by him.

As long as the opponent is a scoundrel, Fang Hong will not hesitate to repay the debt, focusing on hurting each other.

Come up and call 750 billion of your own real money up, in case it is targeted and blasted, you have to cry to death, you can't find the ground when you cry, this hand must be steady.

With the US$300 billion leveraged by leveraging five times the leveraged funds, the current offshore RMB deposit balance is close to about 2 trillion yuan, which is almost enough to offset the offshore RMB deposit balance.

If it's not enough, there are still 700 billion tons of ammunition in the trunk that can be called at any time.

At the end, Fang Hong instructed: "In this foreign exchange war, I will not go to the front-line trading command, and instruct the trading team under my command to start receiving goods now, and we will receive as many yuan as the short smashes, and we can receive 5 trillion yuan at the upper limit, that is, to hedge the 750 billion US dollars mobilized this time." ”

A real master-level tactic, the shot is so unpretentious, not as frivolous as outsiders imagine.

Now the total balance of offshore RMB deposits is about 2 trillion yuan, that is, eat all of them without hiccups, Fang Hong added: "In the future, we will continue to buy RMB, until about 10 trillion level before stopping, and then Qunxing will hold a stable scale of 10 trillion yuan in the offshore market." ”

Hearing this number, Tian Jiayi's beautiful eyes widened instantly: "So many? How will it come out in the future? ”

Hearing this, Fang Hong looked at him: "Out? Why out? I never thought about it at all, the stars are holding 10 trillion offshore funds in their hands is comparable to holding a financial nuclear bomb, their status is more solid as a rock, and their weight is more important, who will dare to move the stars in the future? ”

Tian Jiayi suddenly said: "I see, it's ......"

At this time, the stars can rest assured that they can boldly sweep the RMB in the offshore market, and hope that you can buy more and stabilize the exchange rate, and others can not find an excuse to talk about this matter.

And no one can catch such a large amount, but I hope you take it, you must not throw it, if you throw it, the exchange rate will really collapse.

Fang Hong turned to smile and said: "The hegemony of the dollar will come to an end one day, the general trend of RMB internationalization is gradually rising, in the old saying that the Mandate of Heaven is here to rise the RMB, and now even if it is depreciated, it is just a small fluctuation in the stage, and the time cycle is stretched is another situation." ”

Obviously, Fang Hong's move is also an unswerving belief that the destiny of the country is in the east, and no matter how the lighthouse of the west shines now, when the sun rises in the east, the lighthouse of the west is destined to be eclipsed in front of it.

So just take it.

After a while, Fang Hong skipped this topic and said: "By the way, keep an eye on the HK interbank overnight lending rate, and the decisive point this time is to use the interbank lending rate to blow up short capital." ”

For this showdown in the foreign exchange market, the general idea is that Qunxing and Yangxing will cooperate and be responsible for the offshore market and the onshore market respectively.

In the onshore market, the bank has turned off the faucet, which is already being done, such as last month's window guidance, the suspension of individual cross-border business and the domestic foreign exchange business of participating banks, etc., and the relevant departments have also focused on cracking down on underground banks.

In the offshore market, the stars are pumping, and the overall idea of international short capital is to let the RMB plummet in the offshore market to drive the onshore market to fall, and play a role in the effect of four or two thousand pounds, and it will inevitably frantically sell RMB short in the offshore market. And Fang Hong is incarnated as Pixiu, only in and out, and the opponent will use the dollars in his hand to receive as much as he throws.

The faucet over there is closed, and the water that has been released here is emptied, which will lead to a situation where the water in the pool will be less and less, and the offshore RMB will not have much circulation, and it will become a tight commodity in the market.

As a result, it will inevitably trigger a chain reaction, which will be directly transmitted to the soaring interbank interest rate of Hong Kong, and Fang Hong wants to let the call rate soar in order to blow up the shorts, and the rise in the interbank interest rate will be a devastating blow to the short capital that borrows RMB for short selling.

Because the soaring interest rate will increase the cost of short capital to borrow RMB, the offshore RMB will inevitably appreciate because of the tight supply, and the bears will face the tragedy of being "double killed", because they have to pay interest every day, and Fang Hong wants to let this interest skyrocket to the extent that the bears can't afford it.

From the perspective of short capital, the scenario they envision is to borrow RMB to sell short, and then the RMB depreciates and plummets, and then they can exchange less dollars for more RMB, and the middle price difference is profit, as long as the cost of capital is covered, and the interest is covered by net profit.

But if the offshore renminbi does not depreciate, but instead of devaluation, it appreciates violently, then the result of the bears is to explode on the spot.

Fang Hong doesn't even need to lift the appreciation of the RMB, as long as the exchange rate is stable, the bears are bound to lose, the short capital side needs a quick solution, because they are paying high interest costs every day, the longer they drag on, their capital costs will continue to rise, the loss is profit, once the floating loss covers the profit loss is the principal.

As long as the renminbi is stabilized for a while, the bears will fall into a prisoner's dilemma, but if there is an external push, the bears will trigger a chain reaction collapse.

The compression of profit margins will inevitably lead to a part of the bears taking the lead in surrendering, and they can't wait to buy RMB to close their positions, but instead become de facto bulls.

But what is really terrible at this time is that there are no longer so many yuan in the market, the faucet above was welded by Yang Ma, and the existing water in the pool below was almost drained and taken away by the stars.

At this time, the market will follow the most essential logic, the supply exceeds the demand and the price must be high, eager to buy the renminbi can only hold the horn in the market and yell at the willingness to pay a higher price, the high price can have the priority to close the qualification, which will be fed back to the high interbank lending rate, a large number of short borrowers of renminbi will become extremely sensitive to the interbank lending rate at this time.

When seeing the interbank interest rate rise, it will trigger more people to rush to close the position, because the market can supply the RMB is too scarce, you take it away from others will not be able to get it, in order to get the hand first will quote a higher price, you out of 1 yuan, I out of 1 yuan 5, he immediately shouted out 2 yuan, acting on the overnight lending rate to form a positive feedback reinforcement.

Once the positive feedback effect is established, the bears will collapse overnight.

……

(End of chapter)