Volume 6: The Great Change Chapter 0898: In dire straits
Yelena responded with a smile, and the two of them then walked around the construction site together to learn about the progress of the project.
There is absolutely no problem with the progress of the project, and the quality of the project is also guaranteed. There is absolutely no suspicion of shoddy work. Yelena is also looking forward to the project being completed early so that she can get the final payment as soon as possible.
The quality of the project was also something Nan Yi was quite satisfied with. Although he spent a little more money, at least he got a good product.
Several people walked around the construction site, and the two sides did not talk about any substantive topics. Nan Yi talked in a very procedural manner about the development ideas of an ant market after it was completely built, especially about solving employment problems. Yelena listened and asked questions, and Nan Yi spoke and answered. In less than an hour, the process was completed, and the two sides left in two different ways.
Nan Yi was not quite sure why Yelena came today, but the purpose was very clear. It was nothing more than to pave the way and send out a signal. He believed that it would not be long, maybe a few days, or maybe three to five months, before Mihajlovic would ask him to meet.
No matter what Mihajlovic wanted to do, there was no doubt that he was eyeing Nan Yi's money. He wanted Nan Yi to pay for one of his ideas. As for how much he would pay and what the return would be, he could only wait and see.
After returning to the Modan Barracks, Nan Yi continued his normal work and temporarily put aside Mihajlovic's matter.
After returning to the consulate in the evening, Nan Yi opened his laptop to receive emails and processed those that needed to be processed. The plan to save doctor Laurian was also in the email. Nan Yi did not express his opinion, but replied that he agreed to carry it out. In addition, he sent a separate email to Liang Huiwen, asking her to pay attention to whether Xian Hailan was on the list of doctors.
After Xian Hailan graduated and became a real doctor, she followed her personal wish and became a doctor without borders. She was too noble, and the holy light shining on her made Nan Yi, who was in the gutter, breathless. After that, he no longer paid attention to Xian Hailan's news and didn't know where she was at the moment.
In the next few days, Nan Yi was busy preparing for the trade fair. While he was busy, Wu Xiaowei flew over from China. Nan Yi did not ask him what he had done in the past month. There was no need to ask, as Nan Yi knew very well that Wu Xiaowei had made a wave of short selling transactions in Shanghai.
The Shanghai stock market has undergone a thorough baptism, from the release of the prices of Yanzhong Industrial and Feilo shares on February 12 to the full release of the price limit of all stocks on May 21. The reform of the trading system has led to such a magnificent and huge ups and downs in the stock market.
Although management was prepared to release the stock price, it did not expect the market to move so quickly and so enthusiastically.
what to do?
Just now, we said that we would release the stock price, but we can't take it back immediately. But seeing that the stock market is so crazy, we can't let it go completely. So, we repeat the old tune and use the dual means of public opinion control and administrative expansion to cool down the stock market.
Then, with the issuance of stock subscription certificates, new stock issuance increased exponentially. The first batch had 7 stocks, the second batch had 34 stocks, and the third and fourth batches were launched one after another. The primary market attracted billions of funds in a short period of time, and the stocks were listed just a few days after they were issued.
The continuous large-scale expansion gave the market a warning. Some time after Nan Yi cleared out its stocks, many institutions and big investors began to sell their stocks. They also realized that the management did not want to see the stock skyrocketing and the good news was about to disappear.
August was a month of plummeting for the Shanghai stock market. On August 10, the Shanghai Composite Index fell below the psychological barrier of 1,000 points, marking the beginning of a plunge. On the 12th, the Shanghai market collapsed, falling to a low of 590 points. Although it rose to 781 points at the close of trading, the three-day plunge had reached 22.30 %. The market was severely damaged and bearish sentiment was prevalent.
Taking advantage of the downward trend in the stock market, Wu Xiaowei found his aunt Liu Zhen. With the help of Lin Qin's relationship, he borrowed stocks from some people who didn't care about the stock price, and sold them at a high price and bought them back at a low price. Although it was a bear market, as long as the stock price was lowered by a few levels, there would still be investors who would buy at the bottom. Wu Xiaowei made more than 200,000 yuan by buying high and buying low.
Nan Yi was quite satisfied with Wu Xiaowei's ability to use his connections, but this guy really saved time and effort by not taking a few steps to look for Wu Renpin's other connections and directly setting his sights on her, which made him very unhappy.
therefore……
During afternoon tea time, Nan Yi took a short break and sat at the door of the convenience store drinking tea, while Wu Xiaowei took the lead, working hard to help the paging station move office supplies and various equipment there.
The paging station needed to be expanded, the number of staff needed to be increased, and the workstations and office supplies had to be prepared in advance. The paging station was staffed mostly by female employees, so of course the lifting and moving work had to be done by men. Wu Xiaowei happened to be a big guy with plenty of strength, so Nan Yi sent him over to help.
Just as Nan Yi was drinking afternoon tea and enjoying the warm sunshine, a BTR-80 armored personnel carrier belonging to the Special Purpose Mobile Unit (OMOH) broke through the iron gate of a villa in the east of Moscow. After breaking into the yard, the auxiliary weapon PKT 7.62mm coaxial machine gun on the turret immediately rotated left and right, searching for any living targets.
Behind the armored personnel carrier, a minibus drove into the yard. Before the car stopped, the door was opened and a team of special forces wearing anti-terrorism masks came out of the car. After a trot, the team members came to the back of the armored personnel carrier, and with the cover of the car body, they took small steps and followed the armored personnel carrier to advance forward.
Their mission was to wipe out a drug lord, and the order they received was to fight back immediately if they encountered resistance. However, some of the special forces members also received a special order: search for the target Li Zhengping and kill him directly.
Because of their different positions, they consider issues in different ways. Yepisov does not need to hesitate like Nan Yi. He first confirmed that Li Zhengping had violated his interests, and then confirmed that there was shit in Li Zhengping's crotch, and immediately called for action.
If there is shit in your crotch, you can definitely get it by putting a shit pot on your head.
It is undeniable that not everything a bad person does is necessarily bad, there may be one or two good things. But in the simple thinking of the public, it is not very difficult to understand that a robber molests a woman or kills someone while robbing, and it may even be taken for granted.
Li Zhengping already had several "bad guy" labels on his forehead, and adding the identity of a drug lord was as easy as adding a stroke of ink. Since he was a drug lord, he deserved the scene in front of him.
It just so happened that Li Zhengping's bodyguard was quite responsible. When he saw the armored personnel carrier, he did not immediately raise his hands to surrender. Instead, he raised his gun and made a defensive posture. As soon as he made this action, he was doomed. The special forces soldier holding the RPKS-74 immediately pulled the trigger and fired at the bodyguard.
As soon as the light machine gun sounded, AK-74, AKS-74U, and AS were not to be outdone and started firing bullets at the bodyguards.
In close combat, with no cover at all, one side concentrated its fire first and the other side could only passively take the beating. From the opening of the shooting to the ceasefire, it took less than two seconds, and the five bodyguards had already collapsed to the ground with their eyes open.
Since an exchange of fire had already occurred, the special operations team changed their previously established search and capture tactics. The armored personnel carrier rushed all the way to the gate of the villa, and waited for the team members to spread out their formation and be on guard. After two snipers entered a favorable terrain with VSS sniper rifles and took cover, they immediately increased their horsepower. With a bang, the gate was knocked away, and a large hole appeared in the wall.
Before the smoke from the collision had dissipated, two team members holding AKS-74U and one team member holding RG-051 (an unfinalized test firearm, modified based on AS, and officially named SR-3 after being equipped) broke into the villa. After a few gunshots, they reported that they were safe.
Afterwards, the team members outside the door began to enter the villa, taking turns to cover each other with the previous three team members and attacking deep into the villa.
The Soviet CQB tactics are different from the mainstream Western tactics. Western CQB uses a lot of auxiliary tools and weapons. For example, when breaking into a gate, they usually throw flash grenades or stun grenades first, and choose to throw gas bombs in special situations. The Soviet style is more direct, and the word "reckless" is used throughout the process.
By listening to the density of the gunfire, one can tell their tactics during the attack. It was too dense, with few bursts of fire and more sweeping fire. Even the RPKS-74 was roaring in the villa. The idea of fire suppression was integrated into CQB.
Muren, who was observing from a distance with a telescope, said as he watched: "Fortunately there are no hostages in the room, it would be no problem to kill them all."
In less than twenty minutes, Mu Ren saw bodies being carried out of the villa. Among the bodies, he saw Li Zhengping, who was almost unrecognizable, and Lin Nan, who was being supported or escorted out while standing upright.
Seeing that the target was dead, Mu Ren packed up his things, moved down from the roof to the ground, walked quickly, turned into a street, and blended in with the pedestrians on the street.
At this time, the finance ministers and central bank officials of the twelve European Monetary System countries gathered in Bath, a beautiful town in east Avon, England, to discuss the implementation of future economic policies.
Desperate to create room for lower interest rates in Britain, British Chancellor of the Exchequer Norman Lamont has frequently asked Germany to ease its monetary policy, as have his Italian and French counterparts.
Lamont slammed the table at Helmut Schlesinger, president of the German Federal Bank, at the meeting and said, "There are 12 finance ministers from various countries sitting here, all asking you to lower interest rates. Why don't you, Germany, lower interest rates?"
Schlesinger was very annoyed, but he couldn't bang the table like Lamont did, he was the target of public criticism. He could only carefully give an answer that was not an answer: "Although we don't plan to cut interest rates, we won't raise them at the same time."
After the meeting, Lamont quickly reported Schlesinger's words to the media as a signal that Germany was about to make concessions. Although this was not very prudent, he had no choice. The pound was about to collapse and the market needed some good news for the pound.
However, this somewhat ridiculous statement did not dispel market concerns, and the pressure on the British cabinet still exists.
In the following days of meetings, Lamont and his colleagues continued to fire at the German central bank, which made Schlesinger very annoyed. He has been committed to maintaining the policy independence of the German central bank throughout his life, and not being overly constrained by the German government, let alone a foreigner.
So on September 8, he held a press conference, at which he vaguely pointed out that he could not guarantee the future direction of interest rates, and the German government would not easily make changes to benefit other countries; Italy's lira foundation was very weak and might exceed the normal range of the market. From this, it can be seen that the European exchange rate system is not as imagined, and he personally remains "cautious" optimistic.
At the conference venue, there were a number of business leaders, bank presidents, fund managers and other roles. They were particularly concerned about the conference held in Bath in the past few days and rushed here from all over the world, just waiting to hear a clear conclusion on the mark interest rate.
Among a group of mainly middle-aged and elderly men, two graceful ladies attracted special attention. After the reporters present whispered to each other, it was easy to find out that one of them was the British Duchess Catherine Boleyn, but no one knew the name of the other oriental woman.
In this group of people who were mostly Westerners, Nan Yi's slightly immature Oriental face was particularly eye-catching. However, the reporters present whispered to each other for a long time but still could not find out the details of this Oriental man.
"Zhao, what do you think?" Catherine turned and asked Zhao Shixian.
"Shh, listen carefully first." Zhao Shixian hissed, interrupting Catherine's question. She heard something. The words of the President of the German Central Bank revealed that he was unwilling to cut interest rates.
This is not a formal statement, after all, the negotiations among the finance ministers and central bank governors of the participating countries have not yet been completed, but this meaning can be interpreted between the lines.
"Mr. Schlesinger, please stay." When the meeting was coming to an end and Schlesinger was about to leave, two people suddenly stood up from the crowd below and shouted at the same time.
One of the voices was Zhao Shixian's, and the other was an old man in his sixties. He had gray hair and wrinkles all over his face. He was not tall, but he was in good spirits, and his emerald green pupils radiated wisdom.
"Excuse me..."
Schlesinger was stunned. He had never encountered a situation where he was called by such a strange pair at the same time. He first glanced at the old man and nodded politely, then looked at the young Zhao Shixian with a smile on his face.
"Hello, I'm Zhao Shixian from Xiangkeng, Mr. Schlesinger." Zhao Shixian took two quick steps, rushed in front of Schlesinger, and stretched out his right hand.
"Does Ms. Zhao have any advice for me?" Schlesinger's face was full of smiles, which was in sharp contrast to his tough attitude just now. Perhaps it was the privilege of being a woman, or maybe it was because he had just finished talking about business and felt relaxed.
"Hello, Mr. Soros!"
While Zhao Shixian and Schlesinger were greeting each other, the white-haired old man also came over. As soon as he came over, he saw Zhao Shixian's outstretched right hand.
"Do we know each other?"
Soros was stunned and shook hands with Zhao Shixian mechanically, with a look of confusion on his face.
"PY, Zhao Shixian." Zhao Shixian nodded slightly.
Zhao Shixian had never thought that he would meet Soros here. Today, the Quantum Fund is not very well-known, and Soros is not world-famous. His fame is limited to Wall Street and some investors in the Quantum Fund. However, the relatively independent PY Securities has a sum of money in the Quantum Fund and is one of its clients.
Zhao Shixian reminded Soros that two or three years ago, a large amount of funds did come from Hong Kong, from an institution called PY Securities. Since the money entered the fund, he has basically never met a representative of PY Securities, and the other party has no intention of redeeming the funds.
"Hello, Ms. Zhao."
Soros was all smiles and showed respect for his loyal clients.
After Soros and Schlesinger exchanged pleasantries, Schlesinger smiled even more. He looked at the old man and the pretty girl in front of him with great interest: "What do you two want to talk about?"
For someone like Schlesinger, every word and action will be carefully analyzed and interpreted, and one of his words could mean tens or even hundreds of millions of dollars in financial interests. Therefore, when speaking in public, he must be extremely careful and do his best to avoid leaking important information.
"It's not a big deal, actually. I just want Mr. Schlesinger to talk about his views on the European Currency Unit (ECU)." Zhao Shixian smiled slightly, with a relaxed expression on his face, without any intention of prying for information.
Schlesinger was not opposed to talking about the European monetary unit. As the president of the German central bank, which occupies a major position in the European monetary system, he could naturally talk about such issues.
Schlesinger looked at Soros and seeing that he had no other opinions, he began to speak in a long stream of official rhetoric. These diplomatic speeches seemed to be quite rich in content on the surface, but a careful analysis showed that they were actually saying nothing and were just repeating the same old things over and over again.
"In fact, I personally like the concept of European currency very much, but I don't like the name ECU. Personally, I prefer to call it Mark."
After talking a lot of nonsense, Schlesinger added a meaningful sentence at the end. After that, he nodded slightly to Zhao Shixian and the others, and then left the venue.
"Ms. Zhao, do you understand what he is saying?"
Soros heard a lot of subtext in Schlesinger's words. He was very interested in Zhao Shixian, who asked the question just now, and wanted to hear whether the other party's question was to the point.
Zhao Shixian's question just now seemed grand, but in fact it was testing Germany's determination to maintain European harmony. The questioner, the speaker, and the listener all knew it well. Schlesinger's answer was also very interesting. It seemed like official talk, but in the end it made his position clear - the German central bank will still consider the German economy as its first priority for some time to come.
Now that he can reveal this information privately, Schlesinger will certainly make this position clear to the media in the next few days.
"Germany will not cut interest rates." This is what Zhao Shixian and Soros thought in their hearts.
"Mr. Soros, what you are thinking now is what I am thinking, am I right?" In response to Soros's test, Zhao Shixian laughed it off and changed the subject.
"Ms. Zhao, I have something else to do. I'll take my leave now. I reiterate that our fund will operate with the strategy of maximizing customer returns, and this will never change."
Seeing that he could not get anything out of him, Soros looked at Zhao Shixian meaningfully, imprinted this face deeply in his mind, said a few high-sounding words, and then left.
After watching Soros leave, Zhao Sixian returned to Catherine.
"Zhao, what did you say to Soros?"
For some reason, even though Catherine knew Zhao Shixian's English name, she preferred to call her Zhao.
"He didn't say anything, but he was in a hurry to leave. He must be busy making money for his clients." Zhao Sixian said perfunctorily, and then said with a smile: "Catherine, let's go back to London. I want to see little girl Ruojin as soon as possible. As her stepmother, I brought her a gift."
Speaking of the word "stepmother", Zhao Sixian felt sour in her heart. She herself is a mistress, and her daughter, who is not even conceived yet, also has to be a mistress.
"Stanley, it's time."
As soon as Soros rushed out of the meeting, he immediately dialed a transoceanic satellite phone and spoke affirmatively to Druckenmiller who was waiting for news on the other end.
Druckenmiller on the other end of the phone understood what he meant, put down the phone silently, and shouted to the traders who had been waiting outside: "Everyone, move!"
The traders were silent for a few seconds, and then almost at the same time, they started shouting wildly, with fanatical expressions on their faces. After a brief excitement, each of them immediately rushed to his or her work station and began to implement the strategies they had already formulated.
These strategies involve making correlated transactions in the stock market, foreign exchange market, bond market and other markets, so as to obtain the greatest possible benefits from the chain effect brought about by the decline of the pound.
For a moment, the trading room was in chaos.
Why is the Quantum Foundation known to everyone? Why is Soros so famous?
In fact, this has little to do with what Soros has done and is about to do, but it also has a lot to do with it. Soros is not famous for doing these things, but he deliberately became famous in order to do these things well. In the final analysis, it is because he is too poor, and his own funds are not enough for him to do what he wants to do.
Whether it is the Finnish Mark, the Italian Lira, or the British Pound he is eyeing now, the strength of the Quantum Fund alone is not enough to shake them. The Quantum Fund needs followers and needs to become a banner of international hot money. Wherever the Quantum Fund points its spearhead, the heroes will respond.
You can't become a flag just by wanting to, you need to have a track record. Therefore, the achievements of Quantum Fund must be publicized, and Soros' name must be publicized. This has also made Quantum Fund a hot topic and its various operations are well-known.
In fact, there are many hedge funds like Quantum Fund on Wall Street, and there are also a few that are stronger than it, such as Jones Hedge Fund and Tiger Fund, which are strong enough to crush Quantum Fund. Even the Jaguar, Cougar, Lion, and Tiger Cat funds under Tiger Fund are as strong as Quantum Fund.
The outside world hardly heard about what Jones Hedge Fund was doing, and Tiger Fund was also very low-key. The more significant news dated back to the Plaza Accord, when Tiger Fund speculated on the Japanese yen. In the following seven years, the name "Tiger Fund" was almost never seen in newspapers.
Another example is the up-and-coming Scarlett Fund. There has been little news about it in the past five years. Whenever it is mentioned, it is almost always mentioned in conjunction with Scarlett. The only information disclosed to clients is this year's profit margin, client fund growth, etc. What it is doing is never revealed to the outside world.
The Scarlett Fund headquarters only performs normal operations on the stock market and futures market, and the real big moves are all completed through shadow funds. The funds are called through the system of Southland Bank, and all actions can be done very secretly.
There are both advantages and disadvantages to doing this. The advantage is that it is not easy for hostile funds to get a hold of Scarlett Fund, and it is very difficult to launch a targeted attack. The disadvantage is that it cannot, like the Quantum Fund, use a small amount of money to make earth-shaking moves and gain big returns with a small investment.
The all-in type of risking a small amount for a big gain and gambling one's entire fortune at every turn no longer fits the current positioning of the Nan family. The most basic strategy of the Nan family is to focus on stability and not to pursue rapid wealth growth. It only requires an annual net income of over 10 billion US dollars and accumulates it slowly. When a good opportunity for speculation comes along, it will grab it and make the annual financial report look better.
Scarlett Fund also sent people to attend this meeting, but who were those people? Not only did Catherine and Zhao Shixian not know them, even Scarlett and Nan Yi had to look up the roster. They only knew that this happened and which senior executive was in charge, but as for the specific executors, they could only see who they were in the report.
Like Soros, Zhao Sixian also gave PY Securities action instructions after leaving the meeting.
Three days later, the Wall Street Journal published an interview with Schlesinger, in which he described the current situation of European currencies: "The instability of the European monetary system can only be solved by devaluing the currencies of some countries... Germany will not lower interest rates..."
Although the words were very vague and it was not clear who the "some countries" were, for financial speculators who had long been eyeing the lira and the pound, the target of the hint was obvious.
As early as August, the value of the pound had experienced unusual fluctuations. At the end of August, Chancellor of the Exchequer Lamont even delivered the most stern speech in front of the Treasury building, which was generally regarded by the outside world as an ultimatum to financial speculators: "To make the UK's position clear, I believe that the pound cannot depreciate, and the UK will not withdraw from the exchange rate mechanism. We have an absolute obligation to the exchange rate mechanism. This is the core of our policy."
In addition to Lamont, Prime Minister Major has also expressed similar views on many occasions in public.
In addition to these inspiring speeches, the UK did take corresponding measures in the market, such as buying 3 billion pounds to intervene in the market, and borrowing huge amounts of funds from institutions such as the World Bank and the International Monetary Fund to continue intervening in the foreign exchange market.
These actions are in stark contrast to Schlesinger's views today. Now, everyone involved knows that Germany will not save Britain, leaving only the Bank of England, or rather, the Bank of England and the Bank of Italy, which is also under the fire of international hot money.
In fact, on September 8, the day when Schlesinger held a press conference, the Finnish Mark announced that it would be decoupled from the German Mark and allowed to float freely, which had already given a profound warning to the United Kingdom, France and Italy.
Although Finland is not a country in the European Monetary System, it is small but complete. Such a country was basically powerless to fight back in the frenzy of selling the Finnish Mark, which made the United Kingdom, France, Italy and other countries feel disheartened.
The pound is fine, but the lira's decline is imminent.
As early as September 7, the Italian government announced an increase in the bank's discount rate, but the market reaction was not satisfactory. As a result, one day later on the 9th, Italy was forced to announce another increase in the bank's discount rate, from 12% to 15%; at the same time, it bought lira and sold francs, marks and other currencies in the foreign exchange market, and as a result, the lira was barely kept within the European exchange rate system.
Discounting is a thing that happens when individuals, companies or institutions need short-term working capital. They mortgage securities, real estate, capital or other valuable items to a bank, and then borrow money from the bank at a certain interest rate. It is equivalent to a short-term loan.
International hot money wants to attack the lira, but they cannot hold lira in their hands, because in their opinion, the currency that is about to depreciate is not worth holding. So they pledge their US dollar and mark assets to Italian banks, exchange them for the corresponding amount of lira at the discount rate in the short term, and then sell them in the foreign exchange market. When the lira depreciates to a certain stage, they will buy back the lira from the market and return it to the Italian banks.
Someone has $10,000 in assets, which can be exchanged for 6 million liras. When the lira depreciates, 6 million liras may only cost $9,000. Then this person has earned $1,000 during the depreciation of the lira.
What the Italian central bank must do: First, it must not allow the lira to depreciate so sharply, which requires buying lira in the foreign exchange market to maintain the exchange rate at a specific level; second, it must raise the cost for speculators, making it difficult for them to borrow large amounts of lira. The specific operation is to increase the discount rate.
This raises two problems: first, whether the central bank has sufficient foreign exchange reserves to stabilize the value of the currency; second, the discount rate cannot increase indefinitely.
If the currency value can be stabilized and the discount rate can be raised, the costs for international hot money will be greater than the benefits, and they will collapse without a fight. However, if the currency value cannot be maintained, the benefits will be greater than the costs, and they will pursue and attack relentlessly until one side collapses completely. At present, the advantage lies with the international hot money.
On September 12, when Schlesinger's words were published in Italian newspapers, the lira plummeted, and a large number of sell orders appeared in the foreign exchange market, with prices lower than one another.
Under such circumstances, the Italian central bank urgently mobilized funds to buy lira in the market, but it still could not withstand the aggressive selling. By the end of the day, the exchange rate had approached the lower limit stipulated by the European Monetary System.
The foreign exchange market is a 24-hour market that fluctuates 24 hours a day. Compared with other currencies, the largest market for Italian lira is itself, and the largest buyer can only be the Bank of Italy.
The Rome Cabinet and the Bank of Italy held emergency consultations and, after obtaining the consent of finance ministers and central bank governors from other European Monetary System countries, the Italian government announced early in the morning of September 13 that the lira would be devalued.
The devaluation was to lower the exchange rate of the lira by 3.5%, while at the same time appreciating several other currencies in the European Monetary System by 3.5%. In this way, the lira barely remained within the European Monetary System, and the goal of international hot money was initially achieved.
This is the first adjustment of the European Monetary System's exchange rate since 1987. The seemingly huge European Monetary System revealed its fragile side in the face of international hot money, and the lira temporarily escaped the disaster through automatic devaluation.
But soon, international hot money turned to the pound market with the huge profits they had made from Italy and started a new round of attacks.
The funds mobilized from PY Securities to Italy appreciated by 7.32% within one day. That is to say, within one day, Zhao Shixian did not need to do anything. Both Nan’s wealth in PY Securities and her personal wealth had appreciated to a certain extent. Of course, these wealth had to be calculated in lira.
Not all of this wealth was transferred away. Some 300 million US dollars worth of lira was exchanged for other brother units of the Nan group. Zhao Shixian had no idea what the money was used for.
As some people's wealth increases, others' wealth naturally depreciates. Italian businessmen who use lira as their main trading currency suffered heavy losses in this lira exchange rate turmoil. Of course, from the perspective of the Italian government, the depreciation of lira is not a bad thing. At least the prices of domestic goods have fallen, which is more conducive to exports.
At this time, the ratio of the pound to the mark was 2.796, less than one percentage point away from the lower limit of 2.778 stipulated in the European Exchange Rate System. It looked precarious and was only one step away from breaking the lower limit.
After Schlesinger's public statement, the lira was attacked to the point of almost leaving the European Monetary System in just one day, which made finance ministers and central bank governors of various countries feel the seriousness of the crisis.
Although Italy is not a traditional industrial power, it is also one of the developed countries. The fact that it is so vulnerable to international hot money makes them feel foreboding.
They once again held an emergency telephone conference to urge the German central bank to lower interest rates.
While things were going on in London, the Modan Barracks in Moscow was bustling with activity. The phone shop's business was booming these days, with many merchants standing by their phones, ready to make and receive calls from home at any time.
