Rebirth of the Powerful

Chapter 432 A Great Victory

Unfortunately, all this is in vain...

How to save a market that has collapsed, people have long lost confidence in the pound, and now there is no need for financial speculators to help, people are scrambling to sell the pound to buy the mark.

9:00 am.

Prime Minister Major boarded his armored car and took two minutes to leave Buckingham Palace and arrive at the Old Admiralty Building, which was his temporary residence, because No. 2 Downing Street was being renovated.At the Old Admiralty building, he had a meeting with government officials, ironically.The theme of the meeting was Mayo.As word of impending financial catastrophe reached the conference room, those present felt they had become a de facto war cabinet.

10:30 am.

Lemont put down the phone and declared that everyone in the British financial community was at risk, and Major left the conference room to the telephone room, where he listened to Lemont describe to him how the pound continued to fall.The interest rate in Germany is still fixed at the same place, and the Germans are desperate to prevent depreciation at any cost. Even at the critical moment, they will not hesitate to give up the credibility of the government. Lemon asked the Prime Minister to agree to increase the interest rate by two percentage points.Major nodded.

11:00 am.

Announcements were made and interest rates raised."This is because monetary pressures and instability are waning," Lemont said.He wants rates to fall, but few believe that will happen anytime soon.Despite Lemont's announcement of a rate hike, unfortunately the pound has not stabilized.Financial officials know that government intervention is ineffective.Major also reversed his earlier refusal to reopen parliament, calling for MPs to reconvene to discuss the currency crisis and the UK economy.Congress was called to meet on September 9.This action is extraordinary.Since World War II, there have been only 29 instances where the British Parliament has been required to meet.

12:00 noon.

The Bank of England intervened further, but it was too late.On that fateful day, the Bank of England spent 73 billion pounds worth of foreign exchange reserves buying sterling to back the British currency, to no avail.

30:[-] in the afternoon.

The time for U.S. markets to function begins and the pound is sold off.A currency speculator described it as "like water flowing out of a faucet, which is extremely normal."

At the same time, "Wall Street Journal" and "New York Times" published exclusive interviews with Soros, Hu Shuwen and other arbitrageurs. In the newspapers, Hu Shuwen's smiling face was extremely charming, but the title of the interview article was domineering—" Dump your doomed sterling and take advantage of the last day when the last battle is over! "

In the comment section, a theoretical article co-signed by Yang Jingchu, a doctoral candidate in finance at the Wharton School of the University of Pennsylvania, and his teacher, "The Inherent Contradiction of the Pound Sterling and the European Monetary System", tells the world in a pretentious academic tone. Investors, why is the British pound doomed to depreciate? I tell all investors that you should sell it quickly, add fire, and rob the Bank of England together (of course, academics will not be so straightforward, but this is what it means. How else can we say that literati are unscrupulous?).

2:15 PM.

The Bank of England came to the rescue again, raising interest rates again, for the second time in a day, to 15%.In British history, there has never been an example of raising interest rates twice in one day. The current interest rate is the same as when Major made Britain join the exchange rate mechanism.Speculators have not backed down, and the pound is still below the exchange rate mechanism's minimum exchange rate against the mark.Clearly, it is no longer possible for the government's policies to have political support.

In one day, sterling rates rose from 10% to 12% and then to 15%.Everyone knows that the UK cannot afford such high interest rates for a long time.The exchange rate between the pound and the mark continued to fall, and the Bank of England continued to buy.A day's worth of effort will lead to nothing, and the UK will have to leave ERM, and the pound will have to depreciate.

Major picked up the phone again, this time to the chancellors of France and Germany, and Major's message was grim, announcing that he had to take Britain out of the exchange rate mechanism and that he had no choice.

4:00 PM.

Black Friday afternoons are getting darker and darker.The UK is in the midst of a sterling crisis and has been forced to withdraw from the currency exchange rate mechanism.The winners, the financial speculators of the world, were laughing; the losers, Major and Lemont, conceded defeat ruefully.

英格兰银行参加由欧洲其他国家中央银行发出邀请的会议官员透露：英镑将中止与货币汇机制的联系。英镑对马克的比价下降了2．7%，后在纽约jiāo易市场以1英镑兑换2．703马克比价进行jiāo易，大大低于汇率机制的最低限额。

5:00 PM.

Major convened a meeting of cabinet members, and finally everyone agreed that Britain would withdraw from the currency exchange rate mechanism, and Italy would also withdraw. The British and Italian currencies would float freely, and the central banks of the two countries would not have to buy their respective currencies in the market to maintain their status.

TV crews and journalists gathered outside the Treasury to await the announcement of the decision.

7:00 PM.

The decision was finally announced.Lemont, who has always been extremely confident in the pound, appeared in front of the camera, with his hands behind his back, like a prisoner.He forced a smile, but the smile was fleeting.He pushed the hair on his forehead with his right hand, and then he began to speak: "Today," he said, "is an extremely difficult and chaotic day, with a series of financial events happening one after another, making the exchange rate mechanism useless... …At the same time, we have to make a difficult decision that the government believes that only by suspending membership of the Exchange Rate Mechanism can the UK's best interests be served."

He admitted defeat, his face thin and depressed. The British Economist called it "disappointing".This is in stark contrast to his arrogant announcement a month ago that "international financial speculators headed by the hand of God will lose all their money."

The war is over.

When the autumn wind blew across the earth and brought golden seasons everywhere, China’s 10.1 National Day celebration lanterns have not been picked yet, and the battle of the British pound has finally come to an end.

"Gentlemen," Hu Shuwen said with a smile, standing in the conference room of the Hand of God International Macro Hedge Fund on the third floor of No. 30, the Rockefeller Center Financial Building in the United States, discussing meritorious deeds and rewards. "Each of you will have a month of fun vacation."

The meeting room was full of joy, and the money managers who had been fighting fiercely for more than a month were all smiling and clapped each other to celebrate the victory.This time, the huge victory of the hedge fund of the Hand of God has brought rich returns to every employee. The bonus calculated in hundreds of millions has been transferred to their private accounts, and now they can start a wonderful trip.

When the applause stopped, Hu Shuwen reminded with a smile: "Everyone, don't forget to go to work because of the wonderful vacation. Today next month is the day when the God's Hand hedge fund will officially attract foreign investment."

Many employees are secretly staring at their boss, she is so young and so beautiful.It's just that no one dared to really show their love, because they didn't even dare to think that they could be worthy of this girl who was only a few meters away. In their hearts, Hu Shuwen was more holy than an angel.

"Okay!" Hu Shuwen clapped his palms: "Everyone can organize the things at hand as quickly as possible, and then start your free travel immediately."

"Boss, what is your arrangement, or continue to work?" Walker, the senior money manager, asked aloud.

"Do you want to give up your vacation and stay and work with me?" Hu Shuwen asked with a smile.

Walker replied: "Of course, it is more pleasant to be able to work with you than to be on vacation."

"Heck," Hu Shuwen smiled brightly, "No, I need to rest for a while just like you, and I will go back to Huaxia to be with my family."

The Bank of England and Prime Minister Major silently tasted the bitter fruit of defeat, while those who grabbed the fruits of victory in the fall of the pound rejoiced, including professional arbitrageurs such as Soros, Bruce, Kavanagh and Paul Johns, There are also capital tycoons such as JP Morgan and New York Chemical Bank. Of course, in the eyes of everyone, it is an oriental girl who has just passed her 27th birthday——Hu Shuwen.

When all the dust settled, the context of this war, which took more than a month from beginning to end, was cleared up. People were surprised to find that this was a well-planned battle, and a certain fund played the most important role in it from beginning to end. The key role is that it is fighting at the forefront from the beginning of the war to the climax, and those big players in the financial world are just following in its footsteps.The name of the hedge fund, Hand of God, reached the pinnacle of the financial world in an instant, and its founder, Hu Shuwen, was also regarded as a god-like miraculous figure.

"Forbes" magazine made a special report on this, and London's "Daily Telegraph" made a report on the front page of the October double issue with a huge bold headline.Accompanying the "Daily Telegraph" report is a photo of Hu Shuwen, smiling, with long hair fluttering down the street, and the introduction is: "The most beautiful woman in the financial world has made several billion dollars in profits from the currency crisis last month."

The latest cover of "Time" chose another photo of Hu Shuwen, a girl in a professional suit, appearing heroically on the world's most famous magazine.The catchy headline read: The woman who broke the Bank of England.

The "Washington Post", which has been singing more pounds before and did not keep pace with Hu Shuwen and the others, wanted to interview Hu Shuwen, but was rejected by this manly Beijing girl. The editor-in-chief of the "Post" was very depressed and regretted himself. He underestimated the hand of God and its helmsman, Hu Shuwen.In desperation, they had no choice but to interview Soros. Because of the existence of Hu Shuwen, the time and space where Soros was reborn in Xia Xiaoluo was far less beautiful than in another time and space, at least not so much media attention, so he readily agreed.The next day, the title of the "Post" made Soros a little depressed - "Soros claims that she earns more than me, and her name is Hu Shuwen".

Not to be outdone, the "Wall Street Journal" specially produced a special feature on the British Pound War last month, and this beautiful girl took up more than half of the full-page feature, making countless men fascinated by her frown and smile.

As a professional financial newspaper, the "Wall Street Journal" summarized the rich achievements of the Hand of God hedge fund, doubling the well-known huge figure of 30 billion. Under his leadership, he once again created a miracle in the financial world, gaining a huge wealth of US$60 billion in two months.Half of that came from sterling, and half from all countries whose currencies were hit, such as Italy, Spain and Sweden.

The figure of 60 billion US dollars is relatively accurate, but Xia Xiaoluo's actual income is not that much. To be more precise, his income is 50 billion US dollars, and the other almost one billion is collected by Swiss banks and other financial institutions. It's $300 billion in interest on short-term loans.

On September 9, Hu Shuwen received a call from the principal of her alma mater, the London School of Economics, congratulating her on being selected as a new outstanding alumnus just like Soros. Her photo will be hung in the corridor of the main teaching building with Soros And on the wall of the library for students to admire.

In any case, like the track of history, Xia Xiaoluo and Hu Shuwen won a big victory, so big that financial investors all over the world can only look up to them.