As this financial crisis is more severe than the previous life, on August 11, 2007, central banks around the world injected more than US$500 billion in 48 hours to rescue the market. The Federal Reserve injected US$50 billion into banks three times a day to stabilize the stock market!

However, the subprime mortgage crisis continues.

On August 14, 2007, dozens of companies such as Wal-Mart and Home Depot announced that they had suffered huge losses due to the subprime debt crisis. Companies under Henry's name were also affected. However, they had taken precautions early and kept the losses to a minimum. In addition, these losses are nothing compared to the money made by the Williams Royal Investment Company.

U.S. stocks soon fell sharply to a multi-month low

At this time, the three major central banks of the United States, Europe and Japan once again injected more than $200 billion to bail out the market.

Central banks in the Asia-Pacific region have also injected another US$50 billion into the banking system.

However, on August 16, 2007, the stock price of the nation's largest commercial mortgage company plummeted and faced bankruptcy. The US subprime debt crisis further worsened, and the Asia-Pacific stock market suffered its worst decline since 9/11! On August 20, the Bank of Japan injected another 2 trillion yen into the banking system to bail out the market. On August 21, just one day later, the Bank of Japan again injected 1.2 trillion yen into the banking system. The Reserve Bank of Australia has also injected A$3.57 billion into the financial system!

On August 22, the Fed injected another 10 billion U.S. dollars into the financial system, and the European Central Bank added 50 billion euros in refinancing operations.

On August 23, the Bank of England loaned 2 billion pounds to commercial banks to deal with the crisis, and the Fed injected another 15 billion US dollars into the financial system!

Before August 31, the Federal Reserve will inject funds ranging from US$10 billion to US$20 billion into the financial system almost every day. The financial market is in an extremely severe situation!

On September 1, US President Bush held a press conference and stated that the government was entrusted with a package plan to rescue the subprime mortgage crisis.

The international situation is turbulent, the US economy is decelerating, the US dollar is depreciating, the European Union has suffered heavy losses, the global stock market has plummeted, and countless companies are on the verge of bankruptcy. China's trade and exports have dropped significantly, and the domestic economic situation is not optimistic. The government has invested 50 billion US dollars to rescue the market.

Africa is the least affected in the world. The main trading country of African countries is the Williams Empire, which exports raw materials, and the Williams Empire prefers products to them. In addition, Henry has formulated many infrastructure projects to stimulate economic development and increase national income, so that enterprises can export excess products for domestic sales. In addition, the Williams Empire Central Bank has put out 100 billion US dollars to stabilize the stock market! Due to the short time and small scale of the Digo Exchange, it is relatively easy to rescue the market. Therefore, although the subprime mortgage crisis has swept the world, the citizens of the Williams Empire seem to be staying in a safe haven, and they have not felt the cruelty of the subprime mortgage crisis!

As time passed, the subprime mortgage crisis became more and more serious.

Seeing that many large financial companies are about to close down, the U.S. Treasury Department helped major financial institutions set up a super fund worth $100 billion on October 10 to purchase mortgage securities in their hands. The next day, the American Bankruptcy Association announced that the number of consumers who filed for bankruptcy in September was close to 120,000, a year-on-year increase of over 45.5%. From February to October 2007, a total of 823,000 people were laid off in the United States.

On October 24, 2007, affected by the subprime mortgage crisis, the world’s top brokerage Merrill Lynch announced a loss of US$12.5 billion in the third quarter of 2007. The day before, Japan’s largest brokerage firm Nomura Securities also announced a loss of US$1.24 billion for the quarter. Subsequently, the Swiss bank with the largest assets in Europe announced that due to the loss of subprime mortgage-related assets, the third quarter experienced a quarterly loss of 82.5 billion Swiss francs for the first time in nearly five years.

"Dear, Williams Bank of America is the largest company in the United States. Because it did not invest in subprime mortgage bonds, the loss was small. US President Bush called and asked us to spend $100 billion with Citigroup and Morgan Stanley to help the market get out. Subprime mortgage crisis!" Kailena hurriedly came to Henry's office and said to him.

Henry smiled and said, "Of course there is no problem, but as much as we pay, Citi and Morgan Stanley must also pay."

Kailena couldn't help smiling when she heard the words, and instantly understood Henry's meaning.

Williams Bank of America has good results and sufficient funds. In contrast, Citibank and Morgan Stanley have participated in the investment of subprime mortgage bonds and suffered heavy losses. Depositors and investors have distrusted them. In addition, the United States The financial market is getting worse and worse, and Citi and Morgan Stanley will never have a hard time! As the saying goes, if you hurt your enemy a thousand, you hurt yourself 800. But for Williams Bank of America, this drizzle of loss is totally bearable. However, for Citigroup and Morgan Stanley, it will undoubtedly aggravate the situation and cause these two banks to go bankrupt! Finally, Henry can buy them! ! !

"Okay!" Kailena responded with a smile.

Naturally, Citibank and Morgan Stanley cannot sit back and watch the US subprime mortgage crisis continue, otherwise, they will suffer huge losses! So, he quickly agreed to Henry's request. Obviously, none of them expected how severe this financial crisis would be and how long it would last!

In December, the five major central banks of the United States, Canada, Europe, the United Kingdom, and Switzerland announced their joint efforts to rescue the market, including short-term bid sales and foreign exchange swaps.

The Federal Reserve submitted a package of reform measures against the subprime mortgage crisis, and the European Central Bank announced an additional two-week loan of about US$700 billion to the Eurozone banking system!

This smokeless gunpowder seems to be getting worse and worse.

Both the state and the banks want to win this battle and have invested in subprime mortgage securities.

However, the effect is not great.

In March 2008, the pustule of subprime mortgages finally came to a complete rupture.

From March 3 to March 10 ~lightnovelpub.net~ Bear Stearns' share price fell from US$77.32 per share to US$59.30. Bear Stearns' liquidity has dried up, reaching the point of exhaustion. Although Bear Stearns is the smallest of the five major investment banks on Wall Street, as one of the symbols of Wall Street giants, once it falls, it will undoubtedly have a serious shock effect, and the already poor situation of Lehman Brothers and other institutions will also worsen.

Survival or death has become an unavoidable question for Wall Street giants.

On March 14, Bear Stearns' stock price closed at $30.85, a 45.9% drop from the previous trading day. The stock price once touched US$28.42, the lowest point since the Asian financial turmoil in 1998. Affected by it, the Dow Jones stock index fell 194 points that day.

In order to avoid the sudden bankruptcy of Bear Stearns and endanger its own interests, European financial institutions require traders to suspend transactions with Bear Stearns. Under the pressure of overall deterioration in liquidity, Bear Stearns had to apply for emergency loans from the Federal Reserve, Williams Bank of America, and JP Morgan Chase.

When Henry heard the news, he smiled and said lightly: "The first piece of fat is about to get in hand!!!"

(To be continued.) Enable new URL