Chapter 1558 [The Federal Reserve’s big rescue move has severely dampened global market confidence]
The market conditions these days have been crazy.
Today's roller coaster-like performance of the Asian stock market has made domestic investors discover that the so-called foreigners in the West who engage in value investing are not so calm when encountering such catastrophic market conditions. They are also so panicked and lose their helmets when they run.
Abandon armor.
However, in terms of external markets, what everyone is most concerned about is how the Beijing Magnesium stock market will perform.
Although Ozhou Sansha is also an important sector in the global market, it certainly cannot be compared with the Beijing Magnesium Stock Market.
In the past few days, the daily life of domestic investors is like this: get up at 7 o'clock in the morning, first read the foreign mask news, then watch the Asia-Pacific stock market plunge at 8 o'clock, watch the big A-share shocks at 9 o'clock, and watch the market crash at 4 o'clock in the afternoon.
European stock markets crashed, and the U.S. stock market crashed at 9:30 p.m.
In the first half of the night, the European stock market went on a roller coaster. In the second half of the night, the magnesium stock market opened sharply higher and fluctuated violently.
The magnesium stock market before the market was actually very violent. The three major stock index futures all rose by more than 5%, and the S&P 500 index futures triggered a circuit breaker. This is the fourth time this week that the magnesium stock market has circuit breaker. The previous three times it fell to the circuit breaker.
In this atmosphere, magnesium stocks opened sharply higher, with the Dow Jones Industrial Average rising 3.65%, the Nasdaq Composite Index rising 5.67%, and the S&P 500 Index rising 3.60%.
Soon, the gains of the three major magnesium stock indexes expanded to more than 6%, but this exciting state did not last long, and then began to turn downward. The Dow Jones Industrial Average once fell by more than 1,200 points from its highest point in the session.
The increase also narrowed to less than 1%, and led to a sharp decline in European stock markets.
The stock market originally rose as fast as a tiger in the first half of the night, but in the second half of the night, the decline in magnesium stocks caused it to collapse and close early. The FTSE MIB Index, which had soared by more than 17%, narrowed its gain to 7.12% at the end of the day.
The increase of the Spanish IBEX35 index, which exceeded 12%, narrowed to 4.46%.
At 3:30 pm local time on the 13th, when the three major magnesium stock indexes were already showing signs of diving in late trading, Zhiwei held a press conference on the South Lawn of Bai Palace to announce that Magnesium had officially entered the issue of face masks.
Entering a state of emergency, the federal government will activate an economic fund reserve of US$50 billion for state medical institutions to respond to the black swan impact, and will also require various emergency command centers to respond to masks as soon as possible.
As soon as this news came out, the three major stock indexes of Beijing Magnesium rose violently in late trading. By the close of trading, the Dow soared nearly 2,000 points, or 9.36%, the S&P 500 soared 9.29%, and the Nasdaq soared 9.35%.
If Magnesium's big circuit breaker on the previous trading day was the market's "lower limit", then today's violent rise and surge can be seen as the market's "high limit", which stunned the mainland investors who were paying attention to the trend of magnesium stocks.
Today's international crude oil market also rebounded, because in vain he mentioned at the press conference that he would purchase a large amount of oil to increase the country's energy reserves. As soon as he said this, the crude oil market rose sharply.
WTI crude oil futures closed up 0.7% at $31.73/barrel, and Brent crude oil futures closed up 1.9% at $33.85/barrel.
But this week, WIT crude oil futures plummeted by -23%, and Brent crude oil futures plummeted by -25%, both recording the largest weekly declines since December 2008.
The price of gold plummeted, with EX gold futures closing down -4.6% at $1,516.70 per ounce, the lowest level since December last year. This week, gold futures prices fell -9.3%, the highest level since September 2011.
Biggest weekly decline.
…
Weekend weekend, March 15th.
"In terms of news from the external market, under the impact of the black swan, the Federal Reserve launched a major rescue measure and announced zero interest rates." Tian Jiayi reported the latest news to Fang Hong: "The federal funds rate was directly lowered by 100 basis points to 0% to 0.25%.
level, launched US$700 billion in quantitative easing, coordinated with banks such as Canada through the existing US dollar liquidity swap agreement, and lowered the deposit reserve ratio to zero on the 26th.”
Fang Hong was not surprised when he heard the news. As a time traveler, he knew that this was just the beginning. Zero interest rate, opening of discount window, day credit, buffer assets, collecting reserves, supporting international currency swaps, and supporting CMBS.
Establish SPV&ESF guarantee 30, continue to increase the frequency of currency swaps, and finally announce unlimited QE, which means unlimited money printing, etc.
"Magnesium stocks rose violently in late trading on Friday night. Our diving funds were forced to open up. Monday is the time to count the money again, waiting for the sixth meltdown in the history of primary magnesium stocks." Fang Hong said with a slight smile.
This statement surprised Tian Jiayi. She looked at Fang Hong and couldn't help but said: "With such a large rescue effort by the Federal Reserve, it won't lead to a sixth circuit breaker, right?"
Fang Hong said happily: "Before the Magnesium Fed released this big rescue plan, everyone may have been generally afraid, but now they must be extremely scared. The Magnesium Fed's big rescue plan will definitely save the effect of Midnight Terror. Look at it.
Bar."
After a moment of pause, Fang Hong added leisurely: "It's like an old man has a cold and a fever. The wife takes out all the money and tells the old man to buy whatever he wants to eat. With this attitude, you think the old man
Were you scared when you heard this? The old man wondered if he was hopeless? The neighbor next door would be very afraid of being infected when he saw that the old man had to be sent away even if he caught a cold."
Fang Hong said: "This old man is the magnesium stock market, his wife is the magnesium Fed, and his neighbor is the global stock market. Tomorrow our big A will be the first to open the market. It is dangerous."
What he said was absolutely correct. At this moment, just after the Federal Reserve launched its rescue measures, investors around the world thought that they were not awake and were still dreaming. After repeated confirmations, they were so shocked that they could only
Two words squeezed out: Fuck——!
The Fed held an overtime meeting on Sunday and finally decided to cut interest rates by 100 basis points with zero profit.
This is the second emergency interest rate cut by the Federal Reserve in the past half month or so. Zero interest rates are not enough, and they have even restarted quantitative easing. First, the entire US$700 billion will be used to suppress the shock. We must learn from 2008.
According to regular procedures, this meeting should be held on Tuesday and Wednesday. They are not even willing to wait for three more days, which shows how urgent the situation is and how anxious the Fed is.
In addition to the Federal Reserve, many agricultural banks around the world have also urgently held interest rate meetings in advance and poured money into the market like crazy.
One by one, the central government mothers can’t wait for even a day. Their care for the capital market is really evident on paper, but when all investors see this posture, they only feel that the intensity of this care is scary.
Extremely.
It is no longer important what signal the Magnesium Fed intends to send to the market. What is important is that investors interpreted it as: It is like going to the hospital to see a doctor. The doctor did not say anything about his condition after seeing it, but only said:
You can eat whatever you want when you go back, and eat well so you can go on the road.
Damn it! This is the rhythm!
Doesn’t this mean that I will give you a decapitation meal before leaving? Who wouldn’t panic when seeing this scene? Everyone is extremely scared!
The Fed is really panicking, but it’s all over if you know it in your heart? Don’t you know that the more critical it is, the more confidence you need? This big move, instead of boosting market confidence, intensified the panic index and instantly exploded.
, making everyone think that this is a meal before leaving.