Chapter 2788: Continue to squeeze money
"The Crested Ibis Country is one of the few countries that has restrained itself and insisted on developing the real economy when the entire Gull Alliance was moving away from the real economy and toward the virtual economy.
Manufacturing accounts for more than 20% of GDP!
The country of the red-crowned crane is also the world's third largest exporter, and its economy is entirely driven by exports.
So, Aisha, let me ask you, what does the devaluation of the euro mean to the Crested Ibis Country? "Chen Mo asked, smiling and playing with Aisha's hand.
Aisha suddenly realized: "The depreciation of the Euro means that the prices of goods exported by Crested Ibis Country to other countries will decrease! This will be beneficial to Crested Ibis Country's foreign trade growth and will help it recover first from the financial crisis!"
Chen Mo nodded in satisfaction: "Bingo! Correct answer!
So, do you understand why Merck put the rescue plan on hold?"
Aisha couldn't help sighing: "The world is really just a huge makeshift team!
What alliance? What world's second largest economy? Aren't they just the same as ordinary people, only caring about their own interests? "
Diana smiled and said, “Don’t you think the Foundation is not like this?
Aisha, as long as you follow Chen Mo for a long time and come into contact with more major events, you will understand that even a seemingly invincible existence like the Foundation is actually just a huge makeshift team.
When making money, everyone is happy. Let's unite and reap the world.
Once we stop making money, you want me to sacrifice my interests to save the organization?
Why shouldn't you sacrifice yourself? You are the leader of the organization!"
Aisha nodded: "I am now completely disenchanted with these big countries and big economic organizations. They are just a bunch of selfish villains."
Diana smiled and said, "Actually, this is better. If they don't save the Kingdom of Ke, we just need to buy time. We don't even need to play our trump card."
Aisha nodded vigorously with red cheeks, then turned her head and looked at Chen Mo shyly.
It's better to delay it... This way I can spend more time with Chen Mo.
She really liked the feeling of Chen Mo touching her head and calling her Aisha!
……
……
As Merck insisted on the principle of no bailout, it didn't take long for Croatia's two-year government bond yield to soar to a high of 2%.
In just less than half a month, it increased by 313%!
As mentioned earlier, the higher the interest rate on government bonds in the market, the harder it will be to sell the official newly issued government bonds. After all, it is difficult for the yield on newly issued government bonds to even reach 5 points.
Croatia’s financing channels have been completely cut off, and a financial crash is inevitable.
In this case, the euro index has plummeted to nearly 5000 points!
The Oulun was also in great pain.
Croatia has a national debt of more than 8000 billion euros, and most of its creditors are financial institutions in the Eurozone. Among them, the three countries of Crested Ibis Kingdom, the French Empire, and the Kingdom of Yad have loaned more than two-thirds of the total to Croatia!
Originally, the Sunset Empire was another major lender, but because of her relationship with Chen Mo, Aisha had long ago sold the bonds of the Kingdom of K to other Guilin countries at cost price and successfully escaped.
In this case, if Croatia really defaults on its debt, then these debts will impact the entire Eurozone!
The allies of Bai Ze and Oumeng finally discovered that the countries in the Eurozone have long been like Cao Cao’s warships - your debts are linked together like iron chains!
The burning of one ship will ignite other ships.
If left unchecked, the entire Eurozone will eventually be destroyed!
Finally, one month later, when the Euro index had dropped to 4600 points, Bai Ze convened a meeting of all members again.
This meeting was held for just a few minutes before all members voted 100% in favor of debt rescue for Croatia!
Even Merck had to agree.
After all, once the momentum of "Burning of Chibi" is formed, the Red Ibis Kingdom will only be implicated even more miserably!
On the same day, Bai Ze held an emergency press conference and announced: "The OU will provide Croatia with a 2000 billion euro rescue loan! This loan is enough to cover the 1000 billion euro debt that is about to mature!"
As soon as this press conference was released, Croatian government bond interest rates fell.
But Chen Mo did not relax the rhythm of attack.
On the day of the press conference, Moyuan Ratings downgraded the country's rating to junk level.
The ratings of Argentina and Portugal were also downgraded to junk level!
The market fell into panic again!
This time, the EU reacted quickly and launched an immediate counterattack. The next day, it increased the amount of aid to Croatia to 3000 billion euros!
Three days later, the EU launched a 1 trillion euro rescue plan in the hope of calming market panic and restoring market confidence.
I have to say that spending a lot of money is still very useful.
The Euro Index has finally started to bottom out!
……
……
Sunset at the Imperial Palace.
Another trading day begins.
Chen Mo looked at the soaring Euro index with a relaxed expression.
Aisha said anxiously, "Is the final trump card about to be played?"
Chen Mo shook his head and said, "Don't worry, it's not the right time yet. The money of the Ou Alliance has not been completely drained."
Aisha said incredulously: "You've almost sucked the Ou Meng dry, and you still have a way to continue squeezing money out of them?"
