Bridgewater Fund manager Ray Dalio's unsuccessful meeting at the Mediterranean Manor soon spread through his big mouth. Being able to confront the world's leading figures in finance is indeed an experience worth showing off.
Among the thousands of financial elites on Wall Street, only a handful are lucky enough to be invited into the Mediterranean Manor to have a face-to-face conversation with the King of Bosses, and they are all Taishan and Beidou-level bosses.
Not to mention, Boss King humbly asked Rey Dalio for advice. This is worth writing about in any case, and it can also build the reputation of Bridgewater Associates.
It would be amazing if Rey Dalio could resist such temptation.
This breaking news spread like wildfire and immediately aroused great attention from the public opinion circles. Newspapers and radio stations published numerous reports on the relevant news, and specially invited commentators speculated on Boss Wang’s views on the U.S. economic prospects.
The invited guests held opposing views and started a heated debate on the TV station, which even made both parties blush and fight with each other.
The fermentation of this news hot topic has covered up the heavy financial news of the avalanche of prices in the electronics and semiconductor industry. People across the United States and the world are more concerned about the boss king, who is known as the "King of Wealth" and "Godfather of Silicon Valley". How does he view the current economic prospects?
In this late summer and early autumn month of September, the hype about this hot news became lively.
World-famous financial groups including Citibank, Morgan Stanley, Goldman Sachs Group, Mitsubishi Group, Sumitomo Mitsui Corporation, etc. have called or written to inquire about Boss Wang's attitude towards this. The White House even called the White House in person from Treasury Secretary Paulson to ask for information.
Relevant circumstances.
September 7
After this hot news fermented for a week, the Royal Family Fund, which had been silent for a long time, expressed its official attitude;
Mr. Wang Yaocheng, Chairman of the Foundation, in view of Mr. Rey Dalio’s “unique” views and out of the original intention of academic discussion, invited Mr. Rey Dalio to come to the Mediterranean Manor to comprehensively introduce and elaborate on his impact on the U.S. economy.
Outlook view.
In the meeting
Mr. Rey Dalio’s unique perspective on issues is indeed refreshing.
However, due to different opinions on relevant major issues, His Excellency Wang Yaocheng retained his own views. He firmly believed that;
The current economic situation in the United States is excellent, with residents' willingness to consume at an all-time high, residential construction figures reaching new highs, business starts and unemployment numbers being the best ever, and it is expected to continue to maintain a strong development momentum, leading its partners in continental Europe.
It is difficult for Mr. Wang Yaocheng to agree with Mr. Rey Dalio’s unique views, but this does not prevent him from recognizing the seriousness of the subprime mortgage problem and implementing a strict loan qualification screening system within HSBC Bank to prevent possible
financial risks.
A high-sounding official response dispelled the worries of the world and other large financial groups, and they all breathed a long sigh of relief.
The trend of public opinion has turned to ridicule Ray Dalio, who will do whatever it takes to make Bridgewater Associates famous, which is simply too ugly.
Mr. Rey Dalio was furious. In a live report on Fox News, he criticized Royal Fund for shamelessly using his research results. HSBC's approach to preventing financial risks was inspired by him, and they owe themselves a lot of money.
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in newswire
He Chen, director of the Royal Family Fund Secretariat, gave an interesting response;
"HSBC, with a history of 141 years, is committed to providing professional and thoughtful financial services to customers around the world. Preventing financial risks has always been the main line of the bank's implementation. Unexpectedly, it now requires the authorization of Mr. Rey Dalio.
Maybe it won't be long before we can see that the financial system around the world will need to pay an authorization fee to Mr. Rey Dalio for any measures to prevent financial risks.
This is just like the well-known fact that there are three ways to get to Manhattan, New York, one is driving from downtown, one is through the Brooklyn Cross-Harbour Tunnel, and the other is by ferry.
Mr. Rey Dalio sharply pointed out that taking a ferry is very dangerous and the ship may capsize, causing casualties. Then he calmly set up toll points on the other two roads and charged everyone going to Manhattan.
The reason is that you all benefited from my views and are still standing in front of me talking nonsense, so you all owe me a lot of money..."
This image metaphor caused the audience to burst into laughter, and the overwhelming sarcasm completely drowned out the voice of Mr. Rey Dalio. The audience loved watching these jokes about rich people fighting each other, and it was very immersive to participate.
Royal Family Fund investigation found;
There are many behind-the-scenes financial groups involved in this rhetorical debate, and they are secretly fueling the flames, using public opinion to suppress Bridgewater Associates, and making them wisely shut up.
If you think about it with your toes, you will know that there are vested interests in the subprime mortgage business, including Lehman Brothers and Morgan Stanley Group, some people with official backgrounds and independent writers, because of one or other interests.
Please come out and step on Rey Dalio.
There is no shortage of smart people in the world, especially on Wall Street, where everyone knows the dangers of subprime loans.
Otherwise, relevant banks will not package subprime loan assets and share risks through financial means.
The Wall Streeters who took over used a series of complex financial rule designs to disguise the subprime loan asset package as an object similar to securities, and played a game of passing the money around in the market, making huge profits from it.
The financial industry in the United States is too deeply involved and involves too many aspects. No one wants this financial dream to burst, and no one is willing to pop this dangerous bubble.
This includes the US government. After all, the George government will leave office in two years, and no one is willing to waste time at this time.
If there is any mess, wait for the next government to deal with it.
In the din of public opinion, this article was quickly replaced by new news hot spots and disappeared from people's memory.
The last three months of 2006 were nothing short of a disaster for the electronics and semiconductor industry.
The long-lost cyclical pattern in the field of DRAM memory chips came unexpectedly. Within three months, the overall price plummeted 48.6%, which was halved compared to the peak price.
However, this price reduction trend, accompanied by the continuous expansion of production by leading companies in the industry, has not been curbed at all, but has become an intensifying storm.
This bone-chilling price storm has swept through all DRAM memory chip manufacturers, making them tremble in the storm.
Previously, the investment boom in the electronics and semiconductor industry across South Korea, Taiwan, Singapore, Malaysia and mainland China was like a slap in the face that came to a screeching halt.
This made all investors wake up and feel mixed emotions in the face of a chaotic market.
Too cruel!
Everyone knows that things are going to change, and the leading companies in the market are beginning to clear out their positions.
Leading companies, led by Atlantic Jinko Group and Hynix, were the first to put into production the 40-nanometer advanced process technology in 2005, almost three generations ahead of their competitors. At this time, Micron was still using the 0.13-micron process technology, with a gap of 90 nanometers.
The gap between the third generation process technology of nanometer, 65 nanometer and 40 nanometer is not small.
For other industry manufacturers, the mainstream process technology is between 0.25 micron and 0.13 micron process technology. The chips produced are low-efficiency and high-energy consumption, and can only be reduced to low-end products on the market.
What's particularly fatal is that most of these competing manufacturers' DRAM memory chips use a 16-layer stack process, which is two generations behind the mainstream 64-layer stack process of leading companies, and the storage capabilities are even worse.
In just over three months, the serious consequences of the price reduction trend have emerged.
European Qimonda suffered from trench technology and was unable to break through the 90-nanometer process technology. It announced that it would abandon the field of DRAM memory chips and instead specialize in the production of application chips, avoiding the sharp edge of market competition.
Fuso Elpida Semiconductor was instantly plunged into a loss-making situation. After difficult calculations, it announced that it would follow in the footsteps of Qimonda and fully enter the field of application chips.
Infineon, the world's third-largest memory chip manufacturer, is still struggling with losses.
STMicroelectronics is inclined to sell assets and frequently interacts with US- and Hong Kong-funded manufacturers to explore possible ways of in-depth cooperation. There is no latest news yet.
US-funded companies have been less affected. Most of them have left the field of DRAM memory chip production. Micron, the only memory manufacturer, has its products mainly used in supporting its own electronic products, so the impact is not too great.
The development path of the DRAM storage industry is full of blood. There is no room for negotiation when the big fish eats the small fish. Countless giants who are well-known in the industry have suffered huge losses in this field and left with many scars.
World-famous industry giants such as Intel, Texas Instruments and IBM also sadly withdrew from the DRAM market in 1985, 1998 and 1999 respectively. In addition, Toshiba, Sony, Hitachi, Panasonic, NEC, Samsung, Hyundai and LG
, Siemens, Nokia...
Winter is approaching, and all businesses are thinking hard about how to survive.
Anyone with a discerning eye can see that this time, Atlantic Jinko Group has taken advantage of the huge increase in the supply of DRAM memory chips to initiate a reshuffle of the world market, and will surely once again bloodbath the electronics and semiconductor industry, and will not give up until it achieves its goal.
In the end, it is optimistically estimated that no more than five companies will survive, and most of them will go bankrupt in the cold winter.
Market changes
Promos and Huaya, which are building new wafer fabs in Taiwan, Samsung Semiconductor, a second venture in the Korean Peninsula, STMicroelectronics joint venture in Singapore, and Ang Mo Kio, which was established by acquiring the semiconductor technology team of Nortel Networks in Canada, have all stopped their work.
The wafer project was launched, and there were wailing sounds everywhere.
Among them, Samsung, a second-time startup, suffered the worst.
Its 10-inch wafer fab project has been 82% completed and is entering the equipment debugging and installation stage. Trial production is scheduled for February 2007. Now this goal has been completely ruined.
The 12-inch wafer fab project has been completed by 61%. All civil construction and factory building projects have been completed. The scheduled high-value equipment is gradually arriving at the port. The highly clean and sterile facilities used in the 160,000-square-meter factory building are piled up like a hill at the construction site. Same height.
Now, with an order, the project has been put on pause, and the huge project investment will generate more than 10 million US dollars in interest every day.
Suffering this extremely serious blow, Li Jianxi, who has always been known for his tenacity, was directly knocked down. He was sent to the prestigious Korea Hospital with the sound of "Ula, Ula" from the ambulance, and he was rescued for seven consecutive hours before he regained consciousness.
In just one day, Li Jianxi's hair turned completely white, and his expression seemed to be more than 20 years older. He was lying on the hospital bed with trembling lips and speechless, saliva dripping unconsciously from the corners of his mouth.
The Royal Family Fund's move hit Samsung Semiconductor hard in the waist, causing the second venture of Samsung Semiconductor, which had just shown its prosperity, to collapse in the middle, and its ambitious and grand cause was killed directly.
Alas, I won’t say any more, I feel so tired!
Li Jianxi's muddy old tears were mixed with snot and saliva, flowing freely on his wrinkled old face. The graceful nurse wiped them with a snow-white towel. As soon as they were wiped clean, his face was covered with mud, like spring water. It can't be stopped even if it's blocked.
See this scene
Samsung Prince Li Zaiyong's heart suddenly jumped for no reason, as if he had a premonition of the hope of taking over in advance, and he couldn't help but secretly rejoice...