Chapter 929 The third blow

Hedge funds have another name called "vulture funds", that is, they hover around dying animals like vultures, and when they encounter an opportunity, they will bite fiercely, using their numerical advantages and unstoppable harassment to finally wipe out their prey. kill.

  This description is very appropriate and similar, and hedge funds do have this style. Now, they appeared like vultures in the euro and Italian bond markets, forming a crazy attack on the previous bears.

  The market is indeed as Zhong Shi claimed before, and in fact it is also the result of Zhong Shi's manipulation behind the scenes. However, the hedge funds in the United States admire Zhongshi very much, because the market is indeed developing as Zhongshi analyzed, which makes them ecstatic.

On Monday, Tuesday, and Wednesday, for three consecutive days, they pursued the short-sellers around Italian government bonds. They not only bought Italian government bonds frantically in the national bond market, but also fought against short-sellers in the stock market and the euro market. Fight each other.

  Naturally, when the market is generally positive, the power of bears can be said to be vulnerable. In just three days, the Italian 10-year government bond yield plummeted from close to 8% to below 4%, forming a nearly steep curve within two weeks: first a sharp rise and then a sharp fall.

   In the middle of this change, wealth of tens of billions of euros has been transferred silently.

Similarly, the performance of the euro in the market is also very good. Not only has it swept away the previous decline, but it has also risen slightly compared to when Tianyu Fund coveted Italian government bonds. All full of confidence.

It was not until Thursday that the gains in Italian government bonds and the euro slowed down. Everyone was full of expectations for the economic stimulus news to be announced tomorrow. However, a few people closed their positions and left the market, causing the prices of these two varieties to drop slightly. .

  Even so, there are still more than 500 billion euros of net capital inflows into the long side of these two markets.

  …

   "What news will Europe announce tomorrow? Is it a matter of interest rate cuts? It is now being circulated in the market that the EU will announce a substantial interest rate cut to stimulate the economy."

  In a shooting club in Central, Zhong Shi had just completed a round of shooting, but his grades were quite poor, only 45 rings. He shook his head helplessly, took off his earphones and went to the lounge, where Jiang Shan was sitting leisurely.

   "Not only interest rate cuts, but also QE. They are serious this time, and they want to give the current economy a shot in the arm."

  Zhong Shi took a drink, took a sip indiscriminately, and then sighed, "I believe that the EU has reached an agreement long ago, but it is only announced now."

   "The market in the past two days has been a bit turbulent!"

Jiang Shan was a little surprised, but then he smiled, and his expression became proud again, "Although these two news will bring benefits to the capital market, they have dealt a heavy blow to the euro. Those speculative capitals enjoy the benefits of the capital market on the one hand. , On the other hand, they have to endure the huge downward pressure on the euro against the dollar, I am afraid they will soon fall into the trap you set."

   "If they weren't greedy, they wouldn't be stepping into this deadlock!"

Zhong Shi curled his lips and said disapprovingly, "These guys think they are smart, and the government can do nothing about them as long as they use the rules, but they are wrong, and they are very wrong. How can Europe let them go in this situation? Another wanton attack? Even if it is the United States, although there is nothing to blame in terms of rules and laws, the SEC still has to find trouble with them.”

   "So how much do you expect them to suffer this time?"

  Jiang Shan has little interest in what Zhong Shi said, but he has an extraordinary interest in the final result of the whole thing. This guy is a bit afraid of chaos.

   "It's hard to say, there should be hundreds of billions of euros, I mean the overall turmoil."

  Zhong Shi sighed and said, "After such an incident, I believe they will not touch the European macro targets for at least a few years. This is really terrible!"

  Even Jong-seok himself said the word "scary".

   "If I want to buy some gold at this time, I wonder if I can?"

Jiang Shan doesn’t have as many emotions as Zhong Shi. He has been thinking about maximizing his own interests. Of course, he can’t touch the part involving Zhong Shi’s participation. Fortunately, there are many other related markets to choose from. "This time I want to play a big game and put all my wealth in it."

   "If it is your personal behavior, there is nothing wrong with it."

Zhong Shi rubbed his nose and laughed. He didn't get rich in this conspiracy, so he couldn't stop others from getting rich, as long as Jiang Shan didn't spread the news everywhere, "I believe that after this wave of market conditions, your net worth should be It can be multiplied several times.”

  Jiang Shan also smiled complacently.

   "What are you talking about?"

At this moment, Ivana came over wearing yellow goggles, saw the two smiling, put her hands on her hips, and said condescendingly, "Needless to say, they must be talking about making money, right? so boring!"

  Zhong Shi just picked up his drink and sipped slowly, ignoring her.

   "Hey, you are very smart, you can guess right!"

Jiang Shan didn't care about her domineering appearance, and directly seduced, "Now there is a good opportunity to make money, I wonder if you are interested in joining it? Among other things, at least it can double your net worth in one day .”

   "Needless to say, it must be the thing you planned!"

As soon as Ivana saw Zhong Shi's lazy look, a wave of anger rose in her heart, and naturally she didn't look good towards Jiang Shan, so she said coldly, "I know how to make money all day long, and I have no interest at all. It's just a wooden man. I'm so annoying, is any of you going to compete with me in marksmanship?"

  Jiang Shan's neck immediately shrank, and he didn't dare to say anything.

"boring!"

  Naturally, Ivana couldn't wait for Zhong Shi's answer, so she turned around and went to play with the gun again.

   "What a masterpiece!"

  Looking at Ivana's upturned buttocks, Jiang Shan swallowed subconsciously, and said to Zhong Shi, "Zhong Sheng, it seems that this chick is interesting to you. Do you want to get rid of her?"

   "Hey, I see that you are more interested than me, why don't you come?"

Jiang Shan's piggy-like face made Zhong Shi shake his head, "Why did the German government send a beautiful female agent by my side? Didn't they expect me to lose control of my lower body and get caught if I made a mistake? Although This kind of mistake doesn't threaten me too much, but it's a nuisance."

  Hearing these words, Jiang Shan could only grin his teeth and gasp. He didn't have any worries in this regard, but Ivana never pretended to him, which meant that he had no chance at all.

  As soon as he thought of Ivana's vigorous skills and ruthless character, he immediately gave up the idea of ​​wanting the Overlord to fight hard.

  …

  Friday night, the news that the entire market has been waiting for finally appeared. Draghi, the president of the European Central Bank, announced that he will implement QE policy within the euro area, specifically:

  1. Starting from January next year, 60 billion euros of national bonds will be purchased every month, including national bonds and agency bonds of member states.

  2. Asset purchases are primarily investment grade bonds, but also include other bonds, for example, countries participating in EU/IMF regulatory programs.

  3. Under the QE plan, the purchase of each bond shall not exceed 25% of the bond issuance scale; for the same issuer, the purchase amount shall not exceed 33% of the total debt of the issuer.

  4. The asset purchase will continue until September 2016, but it will actually be adjusted according to changes in the economic situation. Changes in the growth time and increasing the monthly purchase quota cannot be ruled out.

  …

   Once the news was announced, it shocked the entire market.

  Compared to interest rate adjustments, QE is like a nuclear weapon. This time, Europe dropped the "blockbuster" without warning, completely exceeding the market's general expectations.

   This news is hugely positive for the bonds of the euro zone countries, but it is downright bad for the euro. After the announcement of this news, the exchange rate of the euro against the US dollar plunged 6% instantly, not only completely swallowing the gains of the previous few days, but also showing a further downward trend.

   It is foreseeable that the euro will slowly fall in the next few months.

   This time, the EU not only severely damaged the speculative funds that speculated on the national debt of the euro zone, but also planned to keep all the funds that have severely damaged them in Europe. This tactic can be said to kill two birds with one stone.

  The reason for choosing Friday is that capital cannot escape quickly while major markets around the world are closed. Of course, for these funds, they can still be exchanged through OTC and other markets, but the amount of these markets is not enough for them to use, and the faster the flight speed, the more serious their losses will be.

  So many organizations chose to quiet down on weekends and did not take much action. First, they are not reconciled, and second, there is no good way.

  According to subsequent statistics, the EU's move allowed at least about 600 billion euros of speculative funds to remain in Europe. Although a considerable part of the speculative funds conceded defeat and left the market, some of them fell into the traps that Zhongshi had preset, and finally paid a heavy price for their greed.

In the next few months, the euro continued to depreciate, and even once fell below the 1:1 mark. This also made Tianyu Fund, which had long been short-selling the euro, a huge profit, at least earning a huge profit of more than 40%. .

   Thanks to book friends 13036697866 and janetc for voting monthly! Thank you book friends Xinggui for your reward! I sincerely hope that more book lovers will pay attention to and support this book. Although it is close to completion, I am still not sure when it will be finished, so let’s write it first, and write while conceiving the plot, and update the weak points I also hope that everyone will understand and be considerate. Code words are not easy, and everyone's support is the biggest motivation~

  

  

  (end of this chapter)