Chapter 1559 [The Federal Reserve cuts interest rates, we will stand still and will not follow!]
In fact, the Magnesium Fed is not blind. At present, the super black swan is sweeping the world, and Magnesium is not made of steel. The impact of this black swan on the tourism and vacation industries is unimaginable, especially the impact on the global industrial chain.
, it is absolutely impossible for Ah Mei to be alone.
Fortunately, Tokyo University is now almost the only entity in the world that is isolated. To be precise, it is the only entity that is isolated among countries with strong industrial capabilities. After all, there are many countries in Africa that are staying out of the matter because they have no contact with the outside world at all. Naturally,
I also escaped this disaster.
Except for Tokyo University, almost all industrial production capacity in the world is in a state of sudden death. Fortunately, Tokyo University is not only the largest industrial country in the history of human civilization, but also accounts for more than 40% of the world's industrial production capacity.
It is also independent and able to support global supply.
Dongda has already filled up its industrial production capacity in all aspects. If you want anything, just place an order. If the money is in place and the goods are well managed, we can fill up the production capacity for you immediately.
This year's export trade is bound to explode at an explosive rate. The first quarter has not yet ended. All kinds of orders from abroad have been queued up until the end of the year, and they are still increasing. It is simply that supply exceeds demand. Orders
Many of them were treated mercilessly.
It has even reached a point where sellers are comfortable choosing buyers. Those with accounts receivable are placed in the back row, and those who can settle in cash or even pay in advance are placed in the front row, with priority for supply, and those with the highest bids are given priority.
The impact on Ah Magnesium has been huge. For example, more than 90% of masks need to be imported from the East, including some time ago Tesla, Apple and other companies announced the suspension of some factories, etc. These industries that are familiar to mass consumers have seen supply shortages.
The crisis of chain breaking.
In this super black swan, Ah Mei missed too many golden windows in the past, and now has to quickly upgrade prevention and control measures, and has declared a state of emergency. The peak period of the outbreak may be delayed because of this, but everyone firmly believes
It will definitely come.
The operation of the Magnesium Fed has been at the forefront of the magnesium economy most of the time, so the big move released this time is regarded by various investors in the market as the Magnesium Fed's expected management of future market trends.
To put it bluntly, we have a very high probability that we will finish the job in the future, and we must do expectation management in order to finish the job.
I just want to ask you if you are panic?
How can this be a rescue move to stabilize and boost market confidence? It is clearly the Federal Reserve that is taking the lead in creating panic!
Against this background, the Federal Reserve hopes to lower borrowing costs for households and businesses by cutting interest rates so that everyone can tide over the difficulties together. There is nothing wrong with this.
But no one expected that the Federal Reserve would immediately shoot out all the bullets in its hand. Not only did the interest rate drop to zero, but it also restarted quantitative easing (QE).
Chunchun just studs as long as he can, then just stud! The chips are pushed to the bottom! The interest rates are lowered to the bottom! The loosening is loosened to the bottom!
After the Magnesium Fed's operation was revealed, the news spread across the sea to China, in major stock exchange groups, stock forums, etc., and the "one shuttle to the end" emoticon of Mr. Yang, the head of Tongtai Automobile Group, appeared again.
Traveling abroad frequently.
There are even some investors who have directly applied the formula to Mr. Yang’s classic interview template and can use it by just changing a few words:
"This time our Federal Reserve has put all the fate of Amalica on this bailout. This is a stud, and it is a stud, and it is a stud. Isn't it very bold? The entire Federal Reserve, the entire Amnesia, is stamped to the end. Weekend
During the meeting, I told all the participants that this time we will go all the way to the end. Oh! Everyone, you ask them, everyone is very excited after hearing this, and the managers are very excited. We will go all the way to the end, and the whole Fed will
They are all preparing to fight to the end.”
A joke is a joke, panic is also real panic, but concern is also real concern.
As the Fed launches its big move, while the whole world is in shock and panic, what investors are most concerned about now is whether the Fed's stud operation is going to save the stock market or save the debt.
city?
Everyone is talking about the Fed cutting interest rates to zero to save the market. Which market will it save?
Especially to save the magnesium stock market, which suffered two major meltdowns last week, but the signal released by the Magnesium Fed’s interest rate decision is that their main purpose is to save the bond market.
In the financial market, Treasury bonds are currently the largest and most liquid safe haven asset in the world, and are also the pricing indicator of global risk-free assets.
Most countries and regions will use foreign exchange funds to purchase large amounts of magnesium government bonds for value preservation and appreciation. Even Qunxing Group currently holds astronomical magnesium bonds.
Normally, when the market is in a panic, it will sell high-risk assets such as stocks and snap up low-risk assets for hedging, such as U.S. bonds and gold.
Once more buyers of U.S. bonds increase, the price will rise, which in turn will cause the yield to fall. So when the news often says "U.S. bond yields fall," it actually means that too many people are increasing their holdings of U.S. bonds.
Averted.
However, since the black swan swept the world, magnesium bond yields have experienced a roller coaster ride last week, sometimes rising and sometimes falling. When magnesium stocks plummeted last week, U.S. bond yields rebounded from historical lows.
This means that the pricing benchmark of global financial assets has begun to malfunction and has even lost its pricing ability. No one is sure how to determine the price.
For players from all walks of life in the financial market, what else is there to do? There is nothing left to do without an anchor.
While the Federal Reserve cut interest rates over the weekend, it also launched a $700 billion quantitative easing program, of which $500 billion was used to purchase Treasury bonds and $200 billion was used to purchase agency-backed mortgage securities. This was just to rely on the Fed's intervention.
, put dollars into the market to "intervene" in the government bond market, bring prices back to a stable level, and restore the pricing power of global financial asset pricing benchmarks.
This chapter is not finished yet, please click on the next page to continue reading the exciting content! However, the idea is very good, but whether global investors buy it or not is another matter.
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At this time, it was late at night, and Fang Hong was having a remote video connection with Yangma and other management personnel, and was also having an emergency meeting to discuss response strategies.
"The chain reaction is coming. The Federal Reserve quickly lowered interest rates to zero ahead of schedule. Other countries are more confident to follow suit. Comrade Fang Hong, what do you think? Do you have any suggestions?"
This kind of thing must be brought into the meeting to discuss together. As a giant in the global financial world, Qunxing Group is the largest non-bank financial giant group in China. Today's Qunxing Group is both in the real economy and
The virtual economy field has a terrifying influence.
Such a big event cannot be missed.
After hearing this, Fang Hong thought for a while and then looked at the video and said slowly: "The Fed has thrown out such a king. Judging from the current market sentiment feedback results, it will not be of any substantial help to the financial market.
Instead, the unexpected interest rate cut triggered unprecedented panic in the market."
After pausing for a moment, he added in a deep voice: "The Federal Reserve cut interest rates and other countries followed suit, but I don't think we need to follow suit. We can continue to choose to stay put. This will lead to the expansion of the interest rate gap between the two sides, but domestic assets will also further attract international investors."
funds, thereby promoting the external appreciation of the RMB."
Speaking of this, Fang Hong couldn't help but smile: "Now our country's overseas export orders are full. Except for our family, production capacity is broken globally. Even if the RMB appreciates externally, it will not affect the current export trade situation at all. Why not do it?"
