MTL - The Rebirth of the Financial Hegemon-v3 Chapter 99 damn **** stick

The intelligence personnel were caught, and the intelligence system suffered a fatal blow.

This directly led to the direct interruption of the connection between the Quantum Fund and the Thai side.

Those intelligence personnel are all important pawns in the arrangement of the Quantum Fund to promote the general trend of the Thai baht.

Being uprooted by the Thai authorities now means that it is difficult for the Quantum Fund to do anything in Thailand.

That's not what angers Druckenmiller the most.

What really impressed him was that the Bank of Thailand raised the short-term interest rate for short-term offshore lending to 112%.

Up to twelve times the lending rate.

Offshore lending rate is a concept derived from the lending rate.

Because a country's financial market is open, foreign multinational banks are bound to enter.

Markets that do not use their own currency within their home country are called offshore financial markets, and this market is dominated by overseas investors.

The offshore lending rate, in short, is the interest rate for foreign investors.

This is a combo kill move.

Use the forward foreign exchange customer information provided by the bank to put pressure on the position holders, and then use thunder to sweep away the secrets of international capital in Thailand to weaken the influence of public opinion, and increase the offshore lending rate to increase the cost of borrowing Thai baht.

This is complemented by a mandatory executive order to cut off the possibility of foreign investors borrowing from local banks into Thai baht.

Such a combination is sure to kill. Even if international speculators borrowed Thai baht from local banks before, it is impossible to borrow short-term loans from local banks.

The only thing that can be used is to borrow Thai baht from foreign banks that have Thai baht business at high lending rates.

Sunflower and the eight children are used together, it can be said to be a super kill.

First, most of the baht lending business is carried out between local banks, which fundamentally cuts off the possibility of speculators continuing to expand shorting.

Second, for those foreign banks who want to lend short-term interest rates, they must borrow baht from local banks at a very high interest rate, and then release funds to speculators at a higher interest rate.

This will undoubtedly increase the interest rate burden on speculators.

Ten times the interest rate is no joke.

"Damn, how dare you openly cheat!"

New York, Stanley Druckenmiller slapped the desk in front of him fiercely and said in a hurry.

Now, in front of the Quantum Fund, not only the losses from the futures market, but also the high offshore lending rates.

This abnormally high short-term lending rate made Druckenmiller, who has always called himself an apostle of God, unable to help but curse.

In Europe's highly mature and liberalized financial market, the interest rate market is not determined by the central bank or the government with a single official document.

Take Britain and France as examples.

Changes in interest rates are formed by the overnight interest rate quoted by the bank consortium.

A bit similar to a liberalized bidding model, the interest rate is mainly determined by the relationship between money supply and demand.

Therefore, when the British pound and the mark were attacked in 1991, the British and French governments could only raise the benchmark deposit and loan interest rates to attract the inflow of foreign capital, thereby alleviating the pressure of selling the pound in the spot foreign exchange market.

But after the currency crisis spread across Europe, some countries responded to the sell-off by hedge funds with mandatory executive orders.

Among them, the Swedish government once responded to the attack of hedge funds with outrageously high overnight lending rates.

Apparently, the Bank of Thailand has learned this trick that borders on cheating.

What is even more outrageous is that the Thai authorities have used coercion and inducement to forcibly obtain the information of foreign exchange forward customers from major banks, and even resorted to judicial means to forcibly arrest people.

This is blatantly breaking the rules of the game in financial markets.

Never in the history of finance has a country dared to cheat so blatantly.

Because the market bidding system is the benchmark game rule that exists in the financial market.

Simple scores are like casinos.

There are only casinos that entice customers to gamble, but never a casino that forces people to gamble with a gun.

If you do it like this, who would dare to play at your house in the future?

But now, although the Thai authorities are not actually using guns to force people to play according to their rules, they are almost blatantly breaking the rules of the game.

Druckenmiller's face was uncertain.

He knew that this time the Quantum Fund's attack could only end in failure.

The combination of a series of nirvana moves by the Thai authorities is a 100,000-point critical strike against the bears.

In its current form, as long as the Bank of Thailand mobilizes funds to sweep the baht in the market next week, it could easily bring the bears to a crash.

Even, many funds will take the initiative to participate in this encirclement and suppression of shorts.

"Damn Boulder Capital!"

Druckenmiller's hatred of Boulder Capital is like a surging river.

In Druckenmiller's plan, the Quantum Fund intended to kill the baht in a three-dimensional form.

This solid is like a three-dimensional space.

In the currency, foreign exchange, stock and financial derivatives markets simultaneously attacking one currency, the fixed exchange rate system collapses, and the quantum fund can profit hugely from the financial turmoil.

The source of local currency mainly includes the currency market of the target country, the offshore market and the sold stocks or bonds of the country.

Quantum Fund intends to take an asymptotic approach to gradually inhaling the baht to prevent the cost of holding baht from rising by borrowing large amounts of baht in the short term.

Until it holds enough Thai baht, it will sell the Thai baht in a concentrated manner, suppressing the Thai baht exchange rate.

When enough Thai baht is absorbed, it will sell the Thai baht when the negative economic and financial news in Thailand spreads;

Second, sell forward contracts for USD to Thai baht in the forward foreign exchange market.

If the Thai baht depreciates on the expiry date of the forward contract, the Quantum Fund can make a profit by delivering the contract.

Forward selling attacks the Thai baht, which will make the Thai baht forward exchange rate fall, and at the same time, it will also suppress its spot exchange rate.

On the one hand, banks expect to buy baht in large quantities in the future, and will sell baht in the spot foreign exchange market for dollars to close the position, so that the contract can be fulfilled at that time.

On the other hand, market investors observe the depreciation of the forward Thai baht, and will also borrow the Thai baht in the spot foreign exchange market, and then convert the Thai baht into US dollars by selling them, so that they can exchange less US dollars for the performance of the contract on the expiry date of the forward contract. Arbitrage target for desired Thai baht.

However, all these plans were destroyed by Boulder Capital.

In order to mobilize large-scale funds without attracting the attention of the Bank of Thailand, it needs to be done secretly and gradually.

This requires the Quantum Fund to first mortgage some of the bond stocks to the Bank of Thailand, and then establish positions in the Thai securities, futures and other financial derivatives markets.

By the time the position is profitable, the Quantum Fund can earn enough baht to break the baht's fixed exchange rate at minimal cost.

However, the position of the Quantum Fund has just begun to be established, and Jushi Capital suddenly smashed through the defense line of the Thai baht with three billion dollars like a **** stick.

In this case, Druckenmiller had to rush to the challenge.

Even if the Quantum Fund is not fully prepared.

But Druckenmiller has been bearish on the baht for two years, and now that the elastic band of the baht has been broken, it means that his judgment is correct.

The general situation was difficult, and the wall fell and everyone pushed.

It doesn't matter if you can't get the top spot~www.novelbuddy.com~ Since the Thai baht has collapsed, you can make money by taking the opportunity to fall into the trap, and you can also avenge the revenge of being sniped by the Bank of Thailand.

But who knows, the break of the flexible range of the Thai baht is a trap.

What is even more hateful is that the Boulder Capital, which fired the first shot of the attack on the Thai baht, suddenly turned against the water.

One wrong step, one wrong step.

Now, the Thai authorities are cheating and playing such a series of combination nirvanas. The Bank of Thailand and other markets will definitely take the opportunity to kill short positions in the Thai baht after the market opens.

If the cost of the Quantum Fund can be as low as the earlier plan, it may be able to resist this round of strangulation.

Only now, the only thing Quantum Fund can do is to stop the loss.

"Damn **** stirrer..."