Rebirth 79: I opened a bank in the United States

Chapter 218 Inflation Above Interest Rates

"I don't deny this, but just like I believe in the creativity of this nation. I don't think this problem can't trap them, just like ten years ago, they were just relying on abacus. This is a simple, Artificial computing tools."

"It's like relying on abacus to make an atomic bomb. These are almost unreasonable and impossible things that we think of. They have done it. No, it should be said that they have done it! Then why can't I believe it anymore? them once?"

Carter raised the wine glass in his hand with a smile on his face:

"When we invest, don't we like to buy bottoms? Among a group of seemingly weak or even on the verge of bankruptcy, find out those companies with good fundamentals and good potential to invest in, in exchange for the greatest return."

"The same is true for the country. When the time is right, when I have spare money, I am willing to gamble on China! In case their development is really as I said"

"How much do you think I'll get in return?"

"The atomic bomb was not aided by the Soviet Union. Forget it, I admit that you are right! Investing in a country, once it is completed, the return is indeed much greater than that of some scattered companies. When I have the opportunity in the future, I think I will go to China. Go see if it is as good as you said!"

Jim wanted to refute Carter, but after thinking about it, he felt that it was unnecessary.
After all, no matter how they fight now, neither of them has ever been to China.Without investigation, there is no right to speak. Carter seems to have a deeper understanding of China than himself.

It's not Rogers' style to argue anxiously.So, although he still felt that Carter was somewhat idealistic, Jim gave up the idea of ​​dissuading him and turned to ask another question:
"It's less than a month away, so you're on summer vacation, right? Do you have any arrangements?"

"Not yet, do you have any ideas?"

"I kind of want to go to the beach. How about Hawaii? When you are on vacation, let's go there together."

"Okay, no problem. When I'm on vacation, I'll call you to make an appointment!"

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"Uncle Goodman, please do me a favor. Contact Dongfeng Express and ask them to send two cars to New York to help my friend move. The address is here"

The next afternoon, Carter, who had just returned to Douglas, started to arrange the relocation of Lao Chen's family.

"Okay, I see. Why did it take so long this time?"

Goodman glanced at the address, it was just a trivial matter, and he didn't care about it, so he agreed casually.

"Something happened temporarily, and I visited some friends, so I stayed for two more days. By the way, I should go to Hawaii during the summer vacation. Then the bank will ask you. What's going on during my absence? happened?"

"I knew I couldn't expect you to stay here obediently"

Hearing that Carter was going to run away again during the summer vacation, Goodman was a little speechless, but his expression seemed calm.The first time is raw and the second time is familiar, this time Goodman is already very familiar with this set of operations, so naturally there is no wave in the ancient well.

"It has been generally stable recently. Mr. Jinas called yesterday. The contract for the equipment procurement of the processing plant has been finalized. When the plant is built, the equipment can enter the site directly, and technical personnel are also being recruited."

"Have you had any difficulty recruiting?"

"It's not a big problem. Memphis is a metropolis anyway, and there are still talents. With the current unemployment wave, it's not too difficult to recruit. It's just that the manager position on our side and Dongfeng Express can't always be vacant, right? The training stage is still there. Well, after the construction of the factory and cold storage is completed, how can a company without a leader complete its tasks.”

"Are managers easy to find?"

Carter packed his luggage, and asked casually while packing.

"It's not easy to find, and managers themselves are not particularly easy to lose their jobs. Secondly, our location here is still too remote. Some interested people are unwilling to come when they hear that they work in Douglas. After all, Dongfeng Express has not yet started. People are worried about generating revenue, worrying that the company will collapse within two months."

"Okay, I see. I'll think about it later. Is there anything else?"

He took out the suit from his bag and put it aside, and Carter took out the stack of store replacement agreements:
"By the way, this time in New York, I changed a shop. In Lower Manhattan, a small two-story building with a single floor area of ​​about 200 square meters. Let's find someone to go with the moving car later, and help me sublet it out. , this turned out to be a restaurant.”

"How did you come up with the idea of ​​buying a store in New York?"

After receiving the agreement from Carter, Goodman once again saw Carter's brain circuit that is different from ordinary people.Unlike many companies in China who want to go to big cities, many big companies in the United States are often local snakes.

Even the financial industry can't get rid of this smell. For example, the famous Fidelity Investment Group, whose headquarters is still in Boston.Just don't go to New York, or Chicago
Therefore, Goodman couldn't understand what Carter meant by setting up a store in New York at this time.This geographical location is really far away, so far away, what is the use of this shop? !

"To be precise, I didn't buy it, but exchanged it. Didn't Rob compensate me with a store? I exchanged it with that store."

"That's okay, that shop costs about 300 square meters for a building area of ​​[-] square meters in New York, earning."

"Plus a residence!"

Goodman:
Never before has Goodman had such a deep understanding of the phrase "don't comment without knowing the whole picture" as he does today.

"By the way, you just said, what else is there?"

"In addition, the commercial loan interest rate in the market has exceeded 20%, and the federal funds rate has dropped, but it has stabilized at around 13%. This sign is very bad. If you read the news these days, you should be able to see that Someone organized to go to Washington to demonstrate!"

Goodman appeared concerned, even though commercial loans typically have short-term maturities.But in comparison, he still feels that the 12% interest rate of housing and shop mortgage loans that are being continuously issued is a bit low.

If the interest rate in the market remains high, then their interest rate is actually losing money!
Goodman was a little hesitant when Carter made an annual interest rate of 12%.Because the inflation rate in the same period has been similar to this value, or even slightly higher.

But up to now, the inflation rate has almost climbed to 13%, and there is no downward trend at all. emmm, I don't say I can't see it, at least the growth rate is slowing down, and a discerning person can see it.

But it is just a slowdown in growth rate, which does not solve the actual problem.Even if the inflation rate is 13%, the annual interest rate of 12% is actually a loss.That is to say, the books seem to be profitable, but in fact, the purchasing power of the currency controlled by the two banks is declining.

In this environment, the more loans you make, the more you lose money.

"A good thing, this shows that Volker is still very reliable. In two years, this inflation will come down!"

"I admit that in the long run, this may be a good thing! But it's not good news for us right now, Carter!"

(End of this chapter)