Chapter 449 The Appetite of the Big Sharks

As time goes by, signs of economic overheating in Southeast Asian countries have become more apparent:|

The central bank of the country adopts the method of continuously raising bank interest rates to reduce the inflation rate, but this method also provides many opportunities for speculation. Even the banking industry itself is borrowing dollars, yen, marks and other foreign currencies to speculate on foreign currencies and join the ranks of speculators.

The serious consequence of this is a huge increase in the short-term foreign debt of banks in various countries. Once foreign hot money quickly flows away from the financial markets of various countries, it will lead to painful and large shocks.

Although the central banks of Southeast Asian countries have realized the seriousness of this problem, they seem to be somewhat powerless in the face of an open and liberalized market. Among them, the problem is most serious in Thailand. Because at that time, Thailand had the highest degree of liberalization in the financial market among Southeast Asian countries, Thailand and China were closely focused on the U.S. dollar, allowing free entry and exit of capital. The Thai economy has the most bubbles, and the Bank of Thailand has transferred a large number of US dollar loans from foreign countries into the real estate industry, causing a serious imbalance between supply and demand, resulting in a large number of bad debts and bad debts in the banking industry, and a serious deterioration in asset quality.

In the first half of this year, Thai banks' bad debts are estimated to be as high as US$31 billion to US$35 billion. Coupled with the unreasonable borrowing structure, the Thai banking industry is even worse. Ninety-five percent of the Thai banking industry's overseas loans are short-term loans of less than one year.

In March this year, when the Central Bank of Thailand announced that nine domestic finance companies and one housing loan company had problems with low asset quality and insufficient liquidity, Soros believed that a golden opportunity had arrived.

Soros and other arbitrage fund managers began to sell the Thai baht in large quantities, and the Thai foreign exchange market immediately became choppy and turbulent. The Thai baht has continued to slide. Within two months, it fell to a low of 26.7 baht per US dollar.

The Central Bank of Thailand took various emergency measures at the critical moment, using US$12 billion in foreign exchange to buy Thai baht, raising overnight lending rates, and restricting the lending behavior of domestic banks. These powerful measures caused Soros's transaction costs to increase sharply, and he lost $300 million in one fell swoop.

However, Soros had confidence in his original value theory and stuck to his point of view. Not only did he not close his original position, he even continued to increase it.

A loss of 300 million yuan cannot deter Soros at all. He believes that even if Thailand tries its best, it will not be able to withstand his impact. He is determined to win the Thai baht.

It's a little bit funnier. Soros to raise funds. He actually found Fan Wubing's door.

Fan Wu's gains in the Hong Kong stock market were also huge, so he took a ride. However, Qin Rushan's operation in the stock market was also quite successful, especially with the support of Fan Wubing's international financial management team. Full of confidence. Plus tens of billions of dollars in financial support. His operation this time made a huge profit. Fan Wubing's capital in the Hong Kong stock market has grown to 15 billion US dollars, and it is still rising along with this slow bull.

At this time, although four billion US dollars had been withdrawn as agreed. However, his capital in Hong Kong stocks not only did not decrease, but increased. This makes the Monetary Authority very embarrassed.

to this end. Hong Kong also sent personnel to pay a special visit to Fan Wubing. Ask him to speed up the divestment.

Fan Wubing replied that he could only try his best. Otherwise, it will cause violent turmoil in the Hong Kong stock market. I am afraid that international hot money will feel that there is an opportunity to take advantage of the situation.

The Hong Kong government has also given this explanation careful consideration. I think Fan Wubing's reason is also acceptable because such a huge amount of money is dormant in the Hong Kong stock market. Everyone is not at ease in their hearts, especially those local forces in Hong Kong. What's more, he wished that Fan Wubing would leave his territory as soon as possible and go to some other place to make trouble.

Therefore, the Hong Kong government hopes that the trouble will go away. Currently, international speculators are fighting over the Thai baht, and someone has proposed this idea, hoping to lure Fan Wubing to the Thai market.

Someone who had contact with Soros's Quantum Fund told him that Fan Investment Group was launching the Hong Kong stock market and had billions of dollars in its hands that might exceed tens of billions.

Soros was short of chips at this time. When he heard that Fan Wubing had so much idle funds, he immediately contacted Fan Investment Group through connections like a wolfdog smelling the scent of bones, hoping to cooperate with him. Fan Wubing met.

Fan Wubing was very hesitant about Soros' request for a meeting. He didn't really want to meet with Soros. This guy was quite stubborn and extremely aggressive. There was nothing good to talk about when he came into contact with him. The only topic for everyone was , that is, just borrowing money and paying back money, so it is better not to see each other than not to see each other.

However, Soros is very interested in Fan Wubing. In addition to wanting to borrow money, he also really wants to meet Fan Wubing. After all, people in the industry feel that this economic prodigy has never seen the end of his life. Rather mysterious.

"Then let this sense of mystery continue." Fan Wubing said to the messenger.

Although Soros received two tranches totaling US$10 billion,

However, I didn’t see Fan Wubing in person. I can’t say it’s not a pity. The kindness is very good. Now I have enough artillery shells, and I can enter Thailand again to fight the Thai baht.

In late June, Soros raised even larger funds and launched a fierce attack on the Thai Railways again. The major exchanges were in chaos, the Thai baht continued to plummet, and traders sold the Thai baht frantically.

The Thai government used $30 billion in foreign exchange reserves and $15 billion in international loans to try to turn the tide. But this mere $45 billion was like a drop in the bucket compared to the huge amount of international hot money.

During this period, Fan Wubing built two more reservoirs, and now there are four branch reservoirs built. By the end of the year, it is no problem to build two more branch reservoirs.

And Fan Heng's work in Jiangnan Province has also been carried out smoothly. At the beginning of the year, some county-level characteristic economic pilot projects that were arranged have already seen results. Whether it is some characteristic crop planting for export or the development of county-level tourism economy with Jiangnan style, they have achieved rapid development with the support of Fan Wubing.

At this time, the pilot planting of characteristic crops in 26 counties alone can increase the economic income of the entire Jiangnan Province by more than 6 billion this year, which can be regarded as a big breakthrough.

The importance of this matter is not only to improve the economic conditions of some agricultural mountainous counties, but also to let everyone see a problem clearly. It is not only comprehensive industrialization that can achieve economic development. Even small peasant economy still has its merits.

Therefore, there are a lot of discussions in the province. All cities and counties hope to be able to layout the planting of special crops within their administrative areas in the second half of the year, and follow the practices of pilot counties and cities.

However, the attitude of the province is very firm. It is okay to develop special planting industries, but it cannot be developed blindly. It must be developed according to scientific settings. In short, it must conform to scientific development concepts.

Past experience is enough to show that no matter how good the example is, once everyone rushes to it, things will become distorted. Therefore, the decision of Jiangnan Province is to divide the administrative areas in the province into several economic crop cooperation areas according to regional characteristics, breaking the constraints of administrative divisions and realizing a unified cooperation model based on resource characteristics. Then, in each economic zone, we will take measures according to local conditions and realize the priority development of advantageous resources in our own area.

In this way, the benefits can be foreseen. It will not cause disorderly development and vicious competition, but will ensure the formation of large-scale industries, form a certain scale of market supply, and have a say in prices when exporting to the outside world.

When exporting industrial crops, the choice of pricing power is also an important issue in foreign trade.

Many past experiences have proved that domestic vicious competition has caused foreigners to lower prices many times when selling to foreign countries. High-quality goods cannot be sold at high prices. This is a matter of regret.

For example, domestic mushrooms are very popular in overseas markets, but the price has not been able to go up. The main reason is that there is no large-scale planting, which makes it inconvenient for people to collect. Another reason is that foreign merchants or agents have already mastered the specific situation when purchasing, so they lower prices one by one, making it difficult for everyone to make much profit. Sometimes, in order to ship, they basically break even.

Therefore, when Fan Wubing made suggestions to his father Fan Heng, he specifically mentioned this point. In terms of foreign sales, there must be an industry association with relatively concentrated power to set prices, at least to set a minimum price. Once some units sell below this price, their power in the industry association should be deprived, and they will not be included in any future activities.

In this way, the interests of various industries can be maximized.

Of course, this is only for overseas markets, and there is no impact on the domestic market. After all, there is no market access system for sales in the domestic market, while for overseas sales, a large part of the power is in the hands of the government, which is fully capable of reasonable guidance and regulation.

By late June, Fan Wubing had withdrawn $12 billion in Hong Kong stocks, far exceeding his promise to the Hong Kong Monetary Authority, but the funds he left in Hong Kong stocks were still as high as $8 billion, which made him feel a little embarrassed. He really made too much money.

"How about we donate some money to build something in the university in Hong Kong? At least it means giving back." Fan Wubing discussed it with his subordinates, and everyone thought this idea was not bad.

Today's third update is here. I deeply thank everyone for their support. I hope to see more than 300 monthly tickets today. Thank you!