"Treasury bonds? Someone is shorting U.S. Treasury bonds!?"
Feeling like the hairs on his body were standing on end, Soros immediately called up the trading chart of US dollar treasury bonds.
As a financial product that guarantees national credit, treasury bonds also have a specialized market for trading.
The simple truth is that if you buy a U.S. Treasury bond with $100, if the bond matures in 10 years, and U.S. officials promise to get $120 with principal and interest after maturity, then the interest will be 20% in 10 years.
However, many people may not be able to wait for the redemption date and may choose to sell the government bond at a lower price in the market.
There is also a more profound economic factor, which is the fluctuation of the US dollar exchange rate. Once the US dollar depreciates, there will be a large number of selling orders in the market, which will lead to the rapid depreciation of the value of US Treasury bonds.
The depreciation in the value of national debt means a decline in national credit.
This is a very serious matter.
"The subprime mortgage crisis broke out, the domestic financial market plummeted, and the U.S. dollar depreciated. At this time, they sold a large amount of national debt. This is sucking the blood of the United States!"
When Soros saw that the market had fallen by 5 percent, he became furious.
Immediately afterwards, he seemed to have thought of something, and immediately asked his subordinates to call up the trading chart of international gold futures.
Sure enough, as he expected, gold is rising!
The dollar is depreciating, but gold is rising.
This means that the exchange rate between the US dollar and gold will become larger and larger.
As an international settlement currency, this situation will put the U.S. dollar system into a dangerous situation on the verge of collapse.
Soros was so angry that his lips were trembling.
"Jinqing Capital, damn Jinqing Capital, are they going to trigger a world war!?"
Without any time to think about it, Soros immediately asked to speak to Greenspan, the governor of the Federal Reserve Bank.
But he was told that Governor Greenspan was consulting with senior officials in Washington.
Needless to say, this incident must have alarmed the highest level of American officials.
Time passed slowly, and every second, the domestic financial market in the United States was falling, and a large number of investors who were trapped and unable to sell watched helplessly as their accounts were liquidated.
The economic crisis brings not only the evaporation of wealth, but also social unrest.
Racial issues, human rights issues, and the wealth gap that have always existed in American society began to be completely exposed under the intensifying subprime mortgage crisis.
At this moment, in the Qianhai command center.
"Continue to sell U.S. dollar government bonds. Before today's close, the exchange rate of the U.S. dollar against gold will fall by at least 0.8 percentage points."
Standing in front of Jack Chen, Li Jin looked up at the massive transaction data that was refreshing on the electronic screen, narrowed his eyes slightly, and said: "Completely piss off these capitalists. Only when it hurts them to the point of their bones will they panic. When the time comes,
Whether they continue to target domestic A-shares or defend the U.S. dollar system depends on their choice."
Under tremendous economic pressure, the response speed of the U.S. government in Washington was astonishing.
Just three hours after the market opened, when the exchange rate of the U.S. dollar against gold had fallen by 0.3 percentage points, the official U.S. Treasury Department issued an announcement.
"In the next 30 delivery cycles, the U.S. Federal Reserve's central bank vault will release more than 800 tons of national reserve gold to stabilize the current huge fluctuations in the U.S. dollar-gold exchange rate."
"The overall interest rate on the 20-year Treasury bonds that are about to mature will be raised by 5%."
"Thirty trading days before the maturity of the national debt, the national debt will enter the blockade period, and trading of the national debt will not be allowed during the blockade period."
These three temporarily promulgated bills made Li Jin frown.
"The first and second items are still normal economic control policies, but about the third item, they are just trying to cheat?"
Most countries will not use political power to influence the economy unless they have to.
Because it's too damaging to one's character.
Once there is a precedent, who will dare to play with your country’s financial market in the future?