Chapter 1108 [If you take action, you won’t give your opponent a chance to react]

The entire market is going crazy, and stocks in various sectors have plummeted across the board, but one place has become an exception.

That's why gold prices continued to rise in the afternoon.

When the market encounters a "double kill in stocks and exchanges", the risk aversion of funds is rising. At this time, many people can't help but think of Hongfa's blog post three days ago and directly named gold.

With the support of rising risk aversion and the "double BUFF" that K God is optimistic about, gold was robbed by funds in the afternoon. The price trend of gold T+D soared to 233.1 yuan, with an intraday increase of +4.53%. The price of gold The volatility is much lower than that of the stock market, so such an intraday increase can be called a skyrocketing increase.

Nowadays, many people who hold assets are panicking. They see that they cannot hold stocks and the RMB is also depreciating rapidly. It seems more reliable to hold gold. Gold is a general equivalent with absolute liquidity and is recognized everywhere in the world.

What's more, even God K suggested that you can buy gold now, which triggered a situation where gold was robbed, and the supply exceeded demand and the price was naturally high.

As of the close at 15:00, the three major markets closed down across the board.

The NSE 50 Index plummeted -7.88%, closing at 921.15 points, with a turnover of 107.1 billion; the Shanghai Stock Exchange Index plummeted -6.86%, at 3296.26 points, with a turnover of 240.9 billion; the Shenzhen Component Index plummeted -8.20%, at 11626.04 points, with a turnover of 355.3 billion. The total transaction volume of the three major trading markets today totaled 703.3 billion.

Today, the offshore exchange rate market depreciated to a maximum of 6.6338, and finally closed at 6.6296, a decrease of 0.92 percentage points, and a depreciation of more than 600 basis points. Compared with before the exchange reform, in just four months, the offshore RMB exchange rate has depreciated wildly. over 4,200 basis points.

…

Jingxinju villa, in the study room upstairs.

At this moment, Fang Hong was having an encrypted video connection with the senior management, and the leader in the video could be heard asking bluntly: "External short-selling forces have failed to achieve their goals in the stock market, and now they are turning to the foreign exchange market. Comrade Fang Hong, what are you doing in the foreign exchange market?" strategy?"

Fang Hong did not hide it, and simply said: "International short sellers need to sell a large amount of RMB in order to depreciate the RMB quickly and significantly. Through the depreciation of the offshore exchange rate market, they intend to create panic in the market, and then drive the The depreciation of the RMB onshore. Although we have huge foreign exchange reserves in the trillions, if our own people lack confidence and run for exchange, even the foreign exchange reserves of 10 trillion will not be able to withstand it."

The senior management of the video connection nodded: "Not bad."

Fang Hong said: "So the key to short-selling capital lies in the offshore market. Once the offshore exchange rate stabilizes, the crisis in the onshore market will naturally disappear. Qunxing has withdrawn funds from global stock markets and mobilized sufficient US dollar liquidity. Prepare to compete with international short sellers, malicious short sellers and those eager to take advantage of the market in the offshore market, but you need some help to ensure ultimate victory.”

As soon as these words came out, the senior management of the video link nodded slightly again, which was full affirmation, and Qunxing's position was unwavering.

The leader immediately said: "Just tell me what you need, and all parties will work together to cooperate with you."

Unlike the last A-share market rescue operation, which gave money to the market, this time the foreign exchange market can make money, and you can make a lot of money.

Hearing this, Fang Hong said: "The strategy is to pump out water. The onshore market must further lock in the outflow of RMB, and strictly crack down on underground banks and other matters. In addition, it is necessary for secondary financial institutions in Hong Kong to stop lending RMB and eliminate international short-term gains from the source." channel for RMB.”

"As long as the source is pinched, I can drain the remaining water in the pond. The fish out of the water is the meat on the chopping board. The sudden contraction of the RMB supply chain will inevitably lead to a surge in the overnight lending rate of the RMB in Hong Kong and a significant increase in international short positions. The cost of capital intervention in RMB.”

"With insufficient ammunition for short sellers, it will become easier for us to raise the RMB exchange rate and the cost will be smaller. As long as the water from the source is stopped from flowing into the pool, I can drain the remaining water in the pool, and there will be Defeat the bears with absolute certainty.”

At the end, the senior management of the video connection quickly said: "Okay, I understand what you mean. You don't have to worry about the water from the source. We will completely stop it for you. You just need to deal with the remaining water in the pool and thwart the external short-selling of the RMB." power."

Hearing this, the source issue was resolved. A senior executive clearly stated this sentence. Fang Hong did not have to worry that the water in the pool would never be drained. He immediately said: "Please feel free to leave the offshore market to us."

The senior management was very satisfied: "With your words, I will wait for the good news of victory."

The top management now has no doubts about Fang Hong's ability in the capital market. Looking at the whole country, Qunxing is the best in the financial field. If Fang Hong clearly guarantees that he can win, then he can sleep peacefully and wait. Good news of victory.

If even Qunxing can't do it, others can't do it even more.

After ending the encrypted video connection with the top management, Fang Hong called Tian Jiayi over and ordered: "Inform the traders in the foreign exchange market to increase the resistance tomorrow, but let the short sellers narrowly win, and increase the resistance again the next day, but If you want to win big on the short side, you have to pay attention to controlling the rhythm. By the third day, the remaining water in the pool will be almost exhausted, so there is no need to cover up and just strike hard."

"The current RMB overnight lending rate in Hong Kong is less than 4%. We will start a full-scale counterattack on January 7. After the water is completely drained, we will blow up the RMB overnight lending rate around January 12th. From now on, we will When it reaches 4%, it will be directly raised to more than +120%. We must first clean up those speculators and those who are cheating and cheating, and then make a final mid-range confrontation with international short capital.”

Tian Jiayi nodded: "Well, okay, I will make arrangements when I get to the company tomorrow morning."

The overnight lending rate has soared to more than +120%, which is a rhythm that directly kills the short side. The overnight lending rate is not an annualized interest rate, but represents the interest rate of borrowing for one day.

In other words, if 100 million yuan is lent out that day and the overnight interest rate soars to +120%, then the principal of 100 million yuan and the interest of 120 million yuan +120% will need to be returned to the lender tomorrow to repay the principal. The total interest payment is 220 million.

If you play well in the foreign exchange market, you will be amazing every minute. If you lose it, the price will skyrocket every minute. Especially those who play foreign exchange, there are not many people who are not able to use high leverage. Fang Hong will take advantage of those who take advantage of the opportunity to arbitrage back and forth. Bad speculators and rip-offs cut away the roots with a single scythe.

The interest rate for one day is 1.2 times, which translates into an annual interest rate of 438 times. Only by earning a return rate of more than 1.2 times in one day can you avoid losing money. Let alone half a day, let alone a year.

Obviously, Fang Hong either didn't make a move or gave his opponent no chance to react once he made a move.

If Qunxing Capital wants to achieve high growth in this year's performance, it hopes to achieve it by harvesting these speculators and outsiders.

Fang Hong is even more aware that international short capital will launch several rounds of foreign exchange sniping wars in the offshore RMB market throughout this year. Compared with the subsequent rounds of sniping, the current scale of January is relatively small.

…