They are all reborn, and the grandson is still a spare tire

Chapter 671 Huge Waves

On Sunday morning, Yao Yuan left Beijing by plane and flew directly to Hong Kong Island.

When the time came to four o'clock in the afternoon, he had returned to his villa in the mid-levels of Hong Kong Island.

After entering the villa, Gao Huan and the others started the security check as usual.

After confirming that it was safe, Yao Yuan immediately asked Gao Huan to bring over the military satellite phone and prepare to talk to the decision-making team.

In a moment, he had obtained a military satellite phone.

After Gao Huan left, the call started.

The call was quickly connected, Yao Yuan immediately identified himself and then got down to business.

"Uncle Chen, tell me about the situation in the international financial market these days. Are there any major events?"

The next moment, Uncle Chen began to introduce the situation.

“There are really a lot of big things happening in the international financial market these days, and it’s very lively.”

"Just after the New Year's Day holiday, JPMorgan Chase and Merrill Lynch publicly announced that they would write down a total of US$400 billion in subprime mortgage securities again, which is much higher than we previously expected."

"As soon as the news was announced, the stock prices of JPMorgan Chase and Merrill Lynch began to plummet. The situation of other financial institutions on Wall Street was similar, and their stocks all plummeted."

"After the U.S. stock market closed early yesterday morning, the American Banking Association suddenly released data indicating that consumer credit defaults have intensified, and the overdue repayment rate has soared to the highest level in ten years."

"With the release of this data, the market is in an uproar. Just look at it. When the market opens on Monday, the international financial market will plummet again. For us, this is a good thing."

Hearing this, Yao Yuan suddenly laughed.

"Unexpectedly, the reason why JPMorgan Chase and Merrill Lynch wrote down subprime securities more than expected is probably related to the cooperation agreement reached between China and the United States."

"This cooperation agreement gave them some confidence. JPMorgan Chase and Merrill Lynch went beyond expectations to write down subprime securities and release risks. However, this is poaching the Federal Reserve."

"As for the soaring credit default rate, it is also an inevitable result. We have been planning and waiting for this news to come out. When the market opens on Monday, it will be time to harvest."

Before he finished speaking, Uncle Chen on the other end of the phone burst into laughter.

Immediately afterwards, he began to introduce the situation again.

"According to reliable information from intelligence sources, the CEO of Bear Stearns may resign within a day or two, and his replacement may be Schwartz"

"More importantly, Bear Stearns had a liquidity crisis, and many investors began to withdraw funds from Bear Stearns. Lehman Brothers also faced the same problem."

Yao Yuan paused for a moment, and then a bright smile broke out on his face.

"Great, this is the good news I want to hear most. Bear Stearns and Lehman Brothers are finished and will collapse soon!"

"Then it depends on which of the two brothers in distress will fail first. Judging from the amount of capital and the depth of the subprime mortgage crisis, Bear Stearns is likely to be the first to fail, and it may only be a matter of a few months."

"On Wall Street, if there is a problem with the liquidity of an investment bank, it will definitely die. This is a cruel law of Wall Street, and neither Bear Stearns nor Lehman Brothers can avoid it."

"In the past few days, we have received investment requests of no less than 100 billion U.S. dollars. A large part of this money should be the funds withdrawn from Bear Stearns and Lehman Brothers..."

Before he finished speaking, Uncle Chen on the other end of the phone exclaimed.

"Wow! If Bear Stearns and Lehman Brothers fail one after another, it will definitely cause a magnitude 10 earthquake, and it is estimated that it will completely trigger a global financial crisis."

"Take Bear Stearns as an example. The stock price of this top investment bank is now over 70 US dollars. If it goes bankrupt within a month or two, there will obviously be a lot of room for maneuver."

Yao Yuan smiled softly and continued:

"Yes, the collapse of Bear Stearns and Lehman Brothers will definitely trigger a global financial crisis and become a landmark event of this financial crisis."

"Bear Stearns, which is likely to be the first to go bankrupt, once declared bankruptcy, its stock price plummeted by at least 95%, directly from more than US dollars to a few US dollars, completely turning into a junk stock."

"There are too many things to do in this process. The secret operations team must seize this opportunity and reap the rewards. We Jiuye Investment will also end up looting Bear Stearns."

Next, Uncle Chen introduced some other situations.

Moody's and Standard & Poor's are likely to downgrade subprime mortgage bonds again, according to information gathered by intelligence agents.

Grapevine news from Moody's shows that many subordinated bond holders have suffered losses as high as 50%.

In addition to this, there is some other more exciting news.

The U.S. government intends to relax regulations on Freddie Mac and Fannie Mae, and the rate of new housing starts in the United States has dropped to the lowest level in sixteen years.

In addition, the U.S. government and the Federal Reserve once again put pressure on a few losers, requiring them to purchase large amounts of subprime mortgage bonds, saying they wanted to share risks.

These losers include Japan, South Korea, Australia, etc.

After listening to Uncle Chen's introduction, Yao Yuan couldn't help but fell silent.

After pondering for a moment, he said coldly:

"Obviously, the United States has accelerated the speed of passing on the crisis. Those who bear the brunt are the losers with some wealth, and then other countries and economies."

"Uncle Chen, judging from the current situation, we can make arrangements in the foreign exchange market and commodity futures market to sweep wealth in all directions."

"Take the foreign exchange market as an example. I think both the Australian dollar and the Korean won will depreciate significantly in the next few months, at least by about 30%, so they can go short."

"Japan has a relatively strong foundation and strong resistance to shocks. The yen is likely to appreciate, so you can consider going long. As for commodities, they may rise and fall sharply."

"Let's take the outbreak of the global financial crisis as a boundary. We will be long in the commodity market in the early stage and short in the global commodity market in the later stage..."

Following his analysis, Uncle Chen on the other end of the phone couldn't help but let out bursts of exclamations.

On the phone, Yao Yuan and Uncle Chen determined the basic strategy for a comprehensive attack on the stock market, foreign exchange market, global commodity market, etc.

This phone call lasted for more than half an hour and just ended.

The significant impact it has brought can be described as a huge wave.

In the blink of an eye, it was already evening.

In the study, Yao Yuan is checking the investment applications of several sovereign funds.

At this moment, the cell phone placed aside suddenly rang.

This is a text message sent by Gao Huan, the content is very brief.

"Mr. Yao, Zeng Li and the others are here."

Seeing this text message, Yao Yuan smiled softly.

Then he turned off the computer, stood up and walked out of the study.

When he went downstairs and walked into the living room, Zeng Li and Yuan Quan happened to come in from outside.

Seeing Yao Yuan, Zeng Li immediately ran over and threw herself into his arms.

"My dear, you are finally back, I miss you"

With that said, she gave Yao Yuan a sweet kiss.

Yao Yuan put his arms around her and said with a smile:

"Baby, I miss you too. One day without seeing you is like three autumns apart."

After saying that, he casually took Yuan Quan, who was standing aside, into his arms and gave her a passionate kiss.

As soon as the passionate kiss ended, Zeng Li said with joy:

"You are so great, my dear, that you can actually invite Master Yu to come to Hong Kong Island to teach Zhang Xueyou and others to sing Laosheng."

"After only one day of teaching, Zhang Xueyou and the others have already started to sing, much better than before."

"And they seemed to fall in love with singing Peking Opera. They kept singing and singing all day long, and they were very intoxicated."

Hearing this, Yao Yuan suddenly laughed.

"Master Yu and his friends are coming to Hong Kong Island this time as a preliminary step. After the Spring Festival, they will sing on Hong Kong Island for two consecutive months."

"As for Jacky Cheung and Eason Chan, they probably fell in love with Peking Opera so quickly because their bloodline was awakened by stimulation."

"They and Master Yu will come over as guests later, and you can just sing duet at that time. I'll see how it goes."

While he was talking, he walked into the living room with the two beauties in his arms and sat down on the sofa.