The current financial crisis in Hong Kong is caused by several major factors.
The first is the massive financial release before the handover. As a result, hot money poured in. Not only did investment banks such as Wall Street, Morgan Stanley and international funds continue to increase the proportion of Hong Kong stocks in their investment portfolios, but there was also a large amount of funds from surrounding East Asia and Southeast Asia.
Coupled with the bull market in both the real estate and stock markets, Hong Kong has formed a speculative boom. People are borrowing leverage to speculate in real estate and stocks!
In the end, the Hong Kong stock index hit a record high of 16,673 points, an increase of 659% from 2,918 points in 1990.
To be fair, the rise is indeed a bit artificially high.
Also, with the recovery of the U.S. domestic economy, the Federal Reserve has also begun to raise interest rates to curb inflation, which has caused hot money to flow back to the United States.
Southeast Asian countries that originally benefited from the inflow of hot money have implemented a fixed exchange rate system pegged to the U.S. dollar. In order to maintain the fixed exchange rate, they must buy their own currencies when hot money flees.
Southeast Asian countries with weak foreign exchange reserves are unable to support large-scale hot money outflows, which further strengthens expectations of currency depreciation. International speculators take the opportunity to short-sell the currencies of these countries.
In other words, the economies of East and Southeast Asia themselves have big loopholes. If flies don’t bite the seamless eggs, the result will be a domino-like collapse, and it will snowball and expand infinitely.
Finally, Mainland China's economy has begun to show its strength. It has slowly shown the terrifying potential of the world's factory and supermarket, and the Eastern Dragon has finally stepped onto the table of globalization.
Have you noticed? Before this, the earliest books and later the Four Little Dragons eventually became developed countries and regions.
But after that, none of the Four Little Tigers, BRICS, etc. entered the developed world?
If there is an unexpected accident, that's fine. But it's so uniform? There must be an inherent pattern. There is no doubt - it's the Eastern dragon showing its fangs! When the baby embarks on this road of strengthening the country and making the people rich, you guys
There is no way out for the scumbag!
Therefore, with the support of the mainland, Hong Kong is destined to turn the crisis around.
When the index fell to the lowest point of 6660 points, the Hong Kong government took a series of measures to respond to the stock market and futures market in order to protect the Hong Kong dollar, break the arbitrage plan of speculators, and change the previous "active non-intervention" economic policy:
After stabilizing the Hang Seng Index, the Hong Kong Monetary Authority aggressively bought August futures and sold September futures, widening the value gap between the two and increasing the cost of speculation by financial speculators. Some blue-chip and red-chip companies also
Under the call of the government, the company's shares were repurchased, successfully blocking the short-selling behavior of international hot money;
The Hong Kong Monetary Authority directly enters the foreign exchange market to stabilize the exchange rate and interest rates. The Hong Kong government uses the Exchange Fund to buy Hong Kong dollars and deposits the purchased Hong Kong dollars into Hong Kong banks, so that the Hong Kong dollars borrowed by institutional investors from banks can be replenished and the supply and demand for Hong Kong dollars
Stable, exchange rates and interest rates can remain stable;
Restrict malicious short selling. From August 31 to September 7, the Hong Kong government and the Monetary Authority issued new regulations restricting short selling, foreign exchange, and securities trading and settlement, which greatly restricted the speculation of speculators. The Hong Kong government restricted
Shorting the Hong Kong dollar has greatly reduced the delivery period of stocks and futures from 14 days to 2 days, and naked short selling has been greatly restricted. In order to reduce the leverage of futures indexes, the Hong Kong government has reduced the face value of each futures from HK$50,000/
The 10,000 point was raised to HK$120,000. The Hong Kong government also lowered the position declaration limit from 500 units to 250 units and added a reporting mechanism for short open positions, exposing the identity of financial speculators.
Throughout the entire rescue operation, the Hong Kong government consumed nearly 13% of the Exchange Fund and used more than 15 billion U.S. dollars in funds, far exceeding the approximately 7.7 billion U.S. dollars invested by the British government in the "Battle of Sterling" in 1993.
Of course, such a strong intervention policy caused international speculators to fail, and the Hang Seng Index gradually stabilized and rebounded.
By July 1999, the Hang Seng Index had reached 14,000 points.
However, this has also brought a lot of doubts. The Hong Kong government's direct market intervention once raised doubts about Hong Kong's status as a global financial center. It temporarily brought a lot of negative public opinion.
But it doesn’t matter. When the subprime mortgage crisis occurs ten years later, even the United States will do the same, and it will go even further.
Only then did everyone suddenly realize that there is no such thing as financial non-intervention, but there is no such thing as economic liberalization.
Large-scale bailout in extraordinary times is the common choice of governments in various countries during the global financial crisis...
…
But those are things for later.
The major event that is currently sensationalizing the world is not even the financial crisis in Southeast Asia. It must be...zipper door. Ahem (laughing and crying)
People all over the world are looking forward to the appearance of the "Starr Report" and are looking for those indescribable passages. Unfortunately, there are no detailed details at all. Bad review!
Another thing that is not very influential, but is closely related to Li Yuan, is the outbreak of the African World War, which suddenly involved more than a dozen countries in Africa...
At this moment, Li Yuan had already returned home and was so annoyed by the women at home.
"Brother, when you arrived in the United States, did you hear about Zipperton? Is there anything we don't know about?" Li Lanlan inquired about American gossip with great interest.
"How do I know? I didn't go to the White House."
"So Zipperton and the interns are doing it in broad daylight? Isn't it too shameless? Hehehe."
"Huh? That must be it. That woman is not a bodyguard, so she doesn't need to be on duty at night."
"Go away!" Zhang Zhen scolded with a smile, "Lan Lan, what do you want to do by asking these questions? Does a girl's family have anything like this?"
"Hey!" Li Lanlan said "hum" several times in dissatisfaction.
"Yuanyuan, why did it take you so long to go home? Is it very busy in Hong Kong?"
"Hey. Something big happened in Hong Kong. Do you know about the financial crisis? Fortunately, I was there to save them from dire straits."
"Hey!" This time, the whole family rolled their eyes.
The financial crisis in East and Southeast Asia has not been felt at all in the country, and almost no one cares about such bad news. Therefore, when they heard such words, they thought it was Li Yuan's habitual bragging.
"Yuanzi, you just said, how many foreign teams have you bought? How to buy foreign teams?" Gu Yuqin asked curiously.
"It's not useful now, but it might be useful in the future. It's just for playing some free chess." Li Yuan explained with a smile, "It's mainly for advertising and product promotion."
"It's product promotion again. Brother, you have to be down-to-earth and don't play showy?" Li Yunyun said with a smile.
"Huh? Can Xiaosi say such philosophical words?" Li Yuan laughed loudly, "Don't worry, I heard after I came back that the import and export trade has increased several times recently, and all the factories are operating at full capacity.
Production."
"ah?"
The sudden surge in import and export trade volume was not caused by those teams at all, but by the African world war.
Currently, the surrounding areas of the Republic of Vera are full of wars and fighting.
On the contrary, in the safe zone of Sokil, there is an abnormal prosperity scene. Arms trading, mercenary companies, various material transactions, various raw material transactions...
In the past few months, the GDP of the Republic of Vera has more than doubled. Suddenly, it has become extremely rich?
Moreover, as long as locally produced grain commodities and various goods transported there can be transported into Sokil Port, they can be sold. There is no need to worry about the warlords who are jealous of them.
As one of the earliest companies to explore this market, Liyuan didn't care about anything. It searched for all kinds of goods everywhere in the country, packed them into boxes, and shipped them all to Sokill Port...
Anyway, it's quite inexplicable, like a windfall from heaven.
Of course, the happiest people are Ivan and some domestic companies.
The fierce fighting quickly consumed the local military aid inventory, directly stimulating a surge in their business volume...
"Yuanyuan." Zhang Zhen asked curiously, "Is that where our chief fights? Does it matter? Is Harden in danger?"
"Don't worry about it. It's a neutral zone designated by the five good people. No one will turn an eye. Besides, Harden and the others are small local warlords themselves."
"oh oh!"
Unexpectedly, Li Lanlan turned his eyes away again: "Humph, it turns out that you are still a useless piece of junk. You are called an international villain and you have made no contribution at all."
"What do you know?"
"Hey, don't underestimate people. What don't I understand? Aren't you just the one who advertises everywhere and then sells things? I can do it too."
"Okay! If you have the ability, just do it yourself!"
"I'll do it if I do it. Brother, then you should support me, right? I'm going to start my own business now and be the big boss! Hehehehe."
"..."
…
Time flies so fast, Li Lanlan is almost in her third year of college and will graduate in the blink of an eye. If she wants to start her own business, Li Yuan can give her some money to do whatever she wants.
Of course, as a girl-controller, Li Yuan is still not very happy in her heart. Is it necessary for a little girl to have a career? It is better to just lie down and become a naughty brother.
However, there are still many things to be busy with before the end of the year. One of the most important ones is that from January 1 next year, a new unified currency, the euro, will be born.
This marks the official completion of the European Economic and Monetary Union, which has been brewing for many years, and the European integration process has entered a new stage. The launch of the euro will help enhance the overall strength of the EU, promote economic and political unity, and promote Europe's integration in a multi-polar world.
play a greater role.
Of course, with the emergence of this new pole, the United States and the European Union are both on the verge of causing trouble.
Having said that, these nonsense have nothing to do with Li Yuan. The reason why he is very concerned about the euro is because of import and export trade.
In addition, among the three acquired teams, the Denver Nuggets and Colorado Avalanche, unsurprisingly have mediocre records.
Since the North American professional leagues have very strict financial requirements and even have luxury tax standards, even if the owners are rich and use krypton gold energy, it is still difficult to build a super team.
Therefore, in North America, Li Yuan's choice is to go step by step. Anyway, he doesn't care much about the record. Even if the football market is not very good, he won't lose much.
In addition, Li Yuan also has packaged advertisements for more than a dozen products, which has increased the income of each team by more than 10 million US dollars. The effect is not bad, at least it has opened up the North American market.
However, in the eyes of the American media, these two professional teams seemed to have become "advertising teams," which attracted a lot of ridicule.
However, among these advertisements, the Denver Nuggets featured Chinese rookie center Yao Ming, which attracted a lot of attention.
Compared with the original history, Yao Ming became famous in the United States much earlier. He has also become the favorite for the No. 1 pick in recent years.
If the "advertising team" in the United States mainly advertises for Yao Ming, then the situation in the British Isles is completely different.
Stimulated by Li Yuan's high bonus, Sheffield United was lucky enough to get the last spot in the Premier League promotion in this season's play-offs.
But then, European football saw for the first time what it means to be rich!
Sheffield United directly spent 120 million pounds to pursue top stars in the football market, which shows that it is rich and wealthy. Each of the amazing transactions is no longer attracting attention, but detonating it.
Moreover, this gold-dollar policy of "blindly buying, buying, buying with eyes closed" has aroused public indignation in the entire European football circle, especially the Premier League clubs.
"... When other clubs tried hard to control the transfer fee within an affordable range, then China Li stepped in and raised the price infinitely. If he likes any player, he will spend no matter how much money..."
"...It is unbelievable that a successful team does not buy all expensive football stars, which is a great insult to football tradition..."
"...Although Sheffield United's lineup is very competitive this season, I am still not very optimistic about it. After all, this club does not have a championship tradition. Their results should not be up to the pounds they spent. I
I still think that China Li made a mistake and he will eventually be disappointed..."
"..."
What's interesting is that this exciting transfer immediately united the two groups of Sheffield United fans.
Why are you envious and jealous of our club? We just like the bold and aggressive Chinese Li!
In an instant, it turned into a big melee between Sheffield United fans and all other fans. The intensity made the Sun and other tabloids happy.
There is no doubt that Sheffield United's reputation has suddenly exploded and they have become the most beautiful club in the world this season.
Moreover, the team's advertising is also very effective, far exceeding the effectiveness of North American advertising, causing sales of various products to surge in Europe.
There is one thing that makes others very strange. In those media reports, the new "Qinglong Automobile Football Stadium" and the "Phoenix New Energy Training Base"? What are these two things?
There is also curiosity about "Chinese Li". In addition to the usual introductory articles, it is important to note - the boss of Parallel Line Technology!
As a result, the number of European users of Parallel Line Technology increased rapidly, and their stock prices also skyrocketed.
This left everyone stunned, could the club still play like this?
