Reborn Tokyo Golden Age.

Chapter 430 Plaza Accord!

From June to the end of August now.

During the past few months, Prime Minister Takeshita Noboshi spent almost half of his time in the United States.

Not only him, but the finance ministers of Britain, France and Germany have been gathering here to discuss currency and exchange rate issues.

In fact, their frequent appearances are also blowing out to the media.

What wind blows?That is, several major economies in the world have decided to cool down the dollar.

Hey!Wu that man!Why don't you stop now? !
Stop speculating on the dollar, otherwise don't say it is unpredictable!

Cough~, these words are mainly for speculators in the foreign exchange market.

If the exchange rate of the dollar can be lowered without a single soldier, that would be the best.

However, contrary to expectations, the US dollar in the foreign exchange market not only did not depreciate during this period, but appreciated instead.

Two months ago, the dollar was at 1:250 against the yen, and now it has almost risen to 1:260.

The speculators who are obviously hiding in the dark don't think that these countries can reach any substantive agreement.

After all, according to what the newspaper said, only the U.S. dollar will depreciate, while the rest of Japan, Britain, France, and Germany will all rise.

How is this possible? Other countries are not stupid.

Therefore, not only did everyone not believe it, but they believed that these companies were ruthless and incompetent.

Speculators in the foreign exchange market have always been known for their audacity, and the mere government doesn't care about them at all.

Because the trading points of the foreign exchange market are scattered, including several major states in Asia, Europe, and the United States, each other takes turns to open the market 24 hours a day.

Coupled with absolute freedom and no supervision, even if government agencies want to do something, they have to follow the rules.

Therefore, in the foreign exchange market, national power and military power are not easy to use. Only market power and capital power are its driving force.

Because of these characteristics, the foreign exchange market has attracted many large banks, central banks, institutional investors, currency speculators, companies, governments and other financial institutions.

And the speculators who are fighting against them in the United States are some of the above-mentioned institutions.

As for whether there are any banks or financial institutions in the country among the speculators, hey, guess what?
Where is the largest dollar market in the world?Of course it's Beimi.

However, many things are tacitly understood by everyone, so there is no need to delve into them.

But no matter what, if the U.S. dollar continues to appreciate, it will kill the U.S. government.

Since the media briefing is not enough, then we can only do it for real.

After several months of contact, Japan, Britain, France, and Germany have basically reached a consensus on the depreciation of the US dollar and the appreciation of their currencies.

Although the appreciation of the US dollar will have a certain impact on the domestic economy, the situation is stronger than others, and this has to be compromised.

However, everyone has no objection to the depreciation of the US dollar, but there is a lot of room for gaming if the domestic currency rises more or less.

According to normal thinking, countries with a trade surplus certainly hope that their currencies will appreciate as little as possible.

A simple and crude understanding, how much the local currency appreciates against the U.S. dollar is equivalent to a discount on the import of U.S. products.

The goods in the United States are discounted compared to before, and the people of the country will naturally buy more, which is good for the United States.

On the other hand, it is not conducive to the export of domestic commodities.

Therefore, countries such as Britain, France, and Germany do not want their currencies to appreciate too much. After all, they are countries with a trade surplus.

But unexpectedly, in the recent several consecutive communications, the Prime Minister of Nihong, Takeshita Tobo, became uncharacteristically very easy to talk to.

In the draft of the official agreement, the United States proposed that the currencies of the other four countries should appreciate by 10% to 12% against the US dollar.

However, at the consultation meeting, Takeshita took the initiative to mention to US Treasury Secretary Baker that Neon can actually accept a 10% to 20% appreciation.

This. Nihong suddenly took such an initiative, which made even Miguo a little embarrassed.

Gouzi, you give too much.

The reason why Noboru Takeshita has such confidence is not only the domestic policy of "strengthening the yen".

In addition, he has obtained the investigation materials of domestic industry and commerce, as mentioned before.

The ratio of the dollar to the yen is between 1:155 and 1:180, and neon's export commodities are still affordable.

So even if it appreciates by 20%, it is still 1:200. At this exchange rate, neon products still have considerable competitiveness.

In this case, it is good to sell American fathers. Taking a step back can not only reduce the trade pressure on each other, but also sell goods more happily. Why not do it.

Regarding Japan's initiative, the three European countries were puzzled and secretly happy at the same time.

Currency appreciation, this is a very simple math problem.

As long as the yen rises enough, it doesn't matter if the state's currency rises a little less.

After all, discount coupons pay attention to a relative value.

For example, both the yen and the mark appreciate against the dollar.

The yen rises a little more, say 15%, and the mark rises a little less, say 5%.

Then the mark has risen by 10% less than the yen, which is equivalent to the depreciation of the mark against the yen.

At this time, selling West German goods to Japan is equivalent to having a 10% coupon.

Although West Germany has risen by 5% against the United States, but in general, the east is not bright and the west is bright.

If you look at the adjustment of currency exchange rates, the game between countries is everywhere.

The negotiations between June, July, and August were a game between the United States and the other four countries.

It's just that because of Neon's initiative, the difficulty of the game has been greatly reduced, so when it comes to September, everyone has basically reached an agreement.

The final draft of the Plaza Agreement stipulates that the currencies of Britain, Germany, and France will appreciate by 10-12%, and the neon will appreciate by 10-20%.

Of course, this is the range of exchange rate changes proposed by the five countries, and how to implement it depends on market performance.

And the next game will be the game between the governments of the five countries and the foreign exchange market.

In short, the first round has ended, everyone has reached a consensus, and is ready to start signing the agreement.

On September 9, the finance ministers of the five countries gathered at the Plaza Hotel in New York.

The media reporters who have already received the news are completely surrounded by water.

They do not understand the professional knowledge of currency or exchange rate, but they also know that this is a good thing for the United States.

Facing the flashing lights of the reporters, the finance ministers of the five countries all talked about the concept of globalization with smiles on their faces.

What is the purpose of this agreement to deepen mutual trade relations, what is the future trend of global trade, and so on.

The appearance of getting along in harmony did not have the slightest intrigue at the negotiating table.

Especially Takeshita Toshi, the Prime Minister of Neon, who laughed so happily.

It seems that as soon as the agreement is signed, Neon has become the second pole in the world since then, and super beauty is just around the corner.

Because they had all ventilated in advance, at the public signing ceremony, everyone tacitly wrote down their names.

As the five held up their respective agreement texts and displayed them to the public, a new chapter in history opened.

But the Plaza Accord to the outside world is just a communiqué.

The content basically just said that the five countries will jointly lower the exchange rate of the US dollar.

As for the amount of the reduction that was negotiated before, the communiqué itself did not mention a word.

The reason for this is that the five countries hope that speculators in the foreign exchange market will stand on their side.

Deliberately blurring the range of the dollar exchange rate reduction in the communiqué to make everyone feel profitable.

Only in this way can more foreign exchange speculators be attracted to the side of the five countries, and then work together to beat down the dollar.

As I said before, the central banks of the five countries are not dominant in the foreign exchange market, and they cannot force the devaluation of the dollar.

To achieve their goals, the central banks of the five countries can only end the game in person, and go to the foreign exchange market to play games with investors.

The trading volume of the foreign exchange market in 85 is at least tens of billions every day.

And the five countries plan to use 180 billion US dollars to shoot out the bullets within a month.

In terms of volume, there is a gap in strength between each other. Of course, not all foreign exchange markets are copying dollars. The transaction volume of hundreds of billions can only be said to be unknown.

But in the face of tens of thousands of traders around the world who are glued to the screen every day, the central banks of the five countries are not sure of victory.

At this time, they need more speculators to stand by their side and sell the dollar together.

This is the fundamental reason why the "Plaza Agreement" did not indicate a specific exchange rate range.

But the five countries have overlooked one point, the market is never rational.The more vague it is, the easier it is to generate speculation.

In the end, it will even lead to a speculative transition, creating another unimaginable situation.

Of course, this is a later story. At this time, everyone's goal is to depreciate the dollar.

But it is not that no one is aware of this. Paul Volcker specially added words such as "orderly devaluation of the dollar" to the agreement the day before.

"Orderly depreciation" is the key point. It seems that there is no shortage of wise men with unique vision among the two parties who signed the agreement.

It's a pity that neither the United States nor the other four countries have noticed these details at all.

The Plaza Accord has been signed, and it will be fine to implement it according to the plan.

After signing the agreement, the Prime Minister Takeshita Noboshi walked out of the Plaza Hotel and stood with his hips akimbo at the door, looking at the many reporters below with a slightly smug expression on his face.

"I can't help it, it's definitely going to go up, whoever asked my name to be Deng (up)."

Toyo Xingtian standing beside him had a delicate expression, "You are right."

The word "Deng" of Takeshita Deng is pronounced "noburo" in Japanese, which has the same pronunciation as the word "Sheng".

So this great Tibetan minister is playing a homophonic stalk here.

Being able to play memes shows that I am in a pretty good mood.

It can also be seen from this that Neon is actually very happy to see the appreciation of the yen.

As I said before, Neon is a resource-poor country.

With the appreciation of the yen and the depreciation of the dollar, it will be cheaper to import a large amount of domestic resources in the future.

Exports are bad, imports are good.Comparing the two phases and then summarizing them, there is actually no difference.

The complacent Takeshita Noboru and the accompanying officials went to accept the media interview.

And Bai Chuanfeng, who was far away on the other side of the ocean, almost jumped up excitedly when he got the news.

Is the big one finally coming?

"Quick! Quick! Arai-san, let all the funds move.

Baichuan Holdings and Beidu Bank must ensure that all funds in all accounts are in place before the 23rd. "

What Bai Chuanfeng and the others have to do now is to load all the ammunition and open the safety.

The time to really start the attack is tomorrow.

Why?Because tomorrow the central banks of the five governments are going to sell the dollar.

In this second game, Bai Chuanfeng decided to stand with the governments of the five countries and buy yen!The dollar fell!

(End of this chapter)