As the Asian financial crisis continues to ferment, except for the economic and financial impact of mainland China and Taiwan, the currencies, stock markets and real estate of major Asian economies such as Japan, Thailand, South Korea, Malaysia, Singapore, and Indonesia have plummeted, and dozens of The wealth accumulated over the years has been wiped out, companies have laid off employees, factories have closed down, unemployment has increased significantly, purchasing power has shrunk sharply, and the economy has fallen into inflation.
The Japanese government was helpless, the Indonesian economic crisis triggered domestic political turmoil, and the Russian financial market fluctuated violently. These unfavorable external factors put great pressure on the Hong Kong dollar, the Hang Seng Index and the Hang Seng Index futures. Hong Kong listed companies successively announced their 1998 interim results. , Cathay Pacific Group suffered its first loss in more than 50 years since its establishment, and the profits of Swire and HSBC Group also fell sharply. Rumors suddenly spread in the financial market. The negative factors were amplified by the news media controlled by British and American funds. Investors were in panic, and it became an international hot money attack led by Soros. Xiangjiang signal.
Without traveling far, Sun Jian can know the changes in the financial markets of major domestic and foreign economies from the Internet and the 4 investment analysis reports updated every trading day in his hand. With the memory of his past life, he can make investment decisions in Hang Seng stock index futures and daily trading. Through stock index futures, Dow Jones stock index futures and Nasdaq stock index futures trading, it is in an invincible position.
Although Sun Jian did not know the market performance of Singapore Straits Times Stock Index Futures, Bangkok Stock Index Futures, and South Korea KoSpI Stock Index Futures during the 1997 Asian Financial Crisis and the 1998 Asian Financial Crisis in his previous life, he had a premonition that the trend was similar to that of the Hang Seng Index.
On June 26, Singapore’s Straits Times stock index futures June contract, Bangkok stock index futures June contract, and South Korea’s KoSpI stock index futures June contract made a profit of US$647 million.
Because I didn’t know the trend after July, I didn’t continue to invest in the stock index futures of three countries.
If you don't know, don't take action. You'd rather be in vain!
Sun Jian's investment in stock market futures was not based on technology and experience, but on memories from previous lives.
Always pay attention to the trend of the Hang Seng Index. If it falls below 7,000 points, it is a good opportunity for big funds to enter the market!
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"George, we found out that 90% of the long orders for the August contract come from the sales department of AtIc Securities Company. I suspect that Sun Jian is targeting us!"
After the market closed on the 12th, Robertson had a bad feeling and hurriedly reported to Soros.
On August 2, Quantum Fund President Soros, Tiger Fund President Robertson, and Ltcm President Meriwether flew from the United States to Singapore for the final assembly to attack the Hong Kong dollar. Robertson went to Hong Kong to take charge.
On August 5, Soros gave an order, and nearly 10 European and American investment banks and hedge funds simultaneously launched an attack on the Hong Kong currency market, stock market, and Hang Seng Index futures market. They frantically sold the Hong Kong dollar and 33 Hang Seng stock indexes, and shorted Hang Seng Index futures. One day At that time, Quantum Fund sold more than 20 billion Hong Kong dollars and stocks with a market value of more than 20 billion Hong Kong dollars in the Hong Kong market.
On the 6th, Tiger Management and Ltdm sold more than 20 billion Hong Kong dollars and stocks with a market value of more than 20 billion Hong Kong dollars in the Hong Kong market, causing the Hong Kong stock market and Hang Seng Index futures to plummet.
Every time the Hang Seng Index falls by 1 point, a short Hang Seng Index futures contract can earn HK$50. The nearly 100,000 short Hang Seng Index futures contracts in the hands of international hot money have made huge profits within two days.
If international hot money buys a short position in the August contract of Hang Seng Index futures at the Hang Seng Index futures point, and then pushes the Hang Seng Index to 6,000 points, on the delivery day of August 28, it will make a profit of HK$200,000. Now international hot money If you hold 100,000 August contract short positions, you can make a profit of HK$20 billion. Today's high profits make international hot money suppress the Hong Kong stock market at any cost. Under the joint attack of international hot money, the Hang Seng Index fell within two days. It fell nearly a thousand points and its market value decreased by HK$250 billion.
The Hong Kong government is faced with a dilemma. Because Hong Kong has always pursued a market economy, the government should not interfere with the market. The Financial Secretary, Mr. Tsang, believes that once intervention is made, Hong Kong’s status as an international financial center will plummet. If no intervention is taken, Hong Kong’s status as an international financial center will plummet. The fruits of decades of development will be harvested by international hot money. At this time, international hot money comes with hundreds of billions of dollars, which is comparable to Hong Kong's foreign exchange reserves. If a war really breaks out, Hong Kong may not be able to survive.
On August 11, the Hang Seng Index continued to plummet by 3.25%, falling below the 7,000-point mark, setting a new low since 1995. Faced with the crazy attack of international hot money, the Hong Kong Monetary Authority had to adopt the old method of raising interest rates to raise interest rates. Soros and other international hot money’s capital costs, and the interest rate is too high, corporate costs rise, profits fall, the Hang Seng Index is bound to fall, and the Hang Seng Index futures will also fall simultaneously. The August contract of the Hang Seng Index futures held by Soros and other international hot money is empty. Then you can reap the benefits of being a fisherman.
According to previous stress tests, when the Hang Seng Index falls to 6,500 points, it will be the limit that the banking system can withstand. If the stock market and property market fall further, banks will inevitably sell off relevant assets in large quantities, thus setting off a vicious selling wave in the stock market and real estate market. , some small and medium-sized banks may even face the risk of bankruptcy due to excessive bad debts. Once a bank begins to fail, Hong Kong's banking system is bound to suffer a fatal and continuous blow.
Faced with Soros's three-dimensional attack, the Hong Kong government is in a dilemma. If it controls foreign exchange, the Hang Seng Index will fall into despair; if it is left unchecked, the Hong Kong dollar may not be able to withstand the attack and depreciate sharply. That is the foundation of Hong Kong. Once the linked exchange rate system is established, it will collapse and disintegrate, and the consequences will also be very serious.
The Hong Kong government cannot afford to abandon the Hang Seng Index or the linked exchange rate system.
"Julian, although Sun Jian holds more than 50 billion Hong Kong dollars, equivalent to 6.5 billion US dollars, he is far from our opponent. Now that he has entered the game, we just take this opportunity to eat him, and then spread bad news and short tcG and pENG .”
After the Hang Seng Index fell below 7,000 points, Sun Jian, who had a long-term short position, began to go long on the Hang Seng Index futures August contract. George Soros was not very surprised. He had been sending people to keep an eye on the capital movements of AtIc and AtIc Securities.
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On the morning of August 13, the Financial Secretary, Mr Tsang, suddenly announced to the media at a press conference that Hong Kong is not a place for international hot money to cause trouble.
The day before yesterday, Director Zeng secretly boarded a flight to the capital. After receiving the determination to support the capital, Director Dong officially announced the use of foreign exchange reserves to directly enter the foreign exchange market, stock market and futures market to protect the Hong Kong dollar linked exchange rate mechanism. Do not let international hot money make money on the August contract of Hang Seng Index futures.
On the 13th, the mainland also publicly stated in overseas media that as long as the Hong Kong Special Administrative Region government needs it, the mainland will maintain the prosperity and stability of the Hong Kong region at all costs and maintain the linked exchange rate system of Hong Kong.
