Rebirth of the Financial Overlord

(Calvin, the front has been slightly repaired)

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After a night of hard work, Shen Jiannan fell into a deep sleep with both mental and physical release. Therefore, although he only rested for five hours, he was in good spirits and did not feel dazed because of William's words.

To increase the discount rate to 12%, Shen Jiannan took the phone and thought about it.

It seems that the Bank of Italy reacted quickly enough, obviously wanting to use this actual benefit to hedge against the negative impact of Schlesinger’s public speech on the lira, and then use the foreign exchange reserves in their hands to take the opportunity to buy lira to repel the war. Digest the market's bearish awareness of the lira.

But does it work?

Useless.

Having been engaged in the speculative industry for two lifetimes, Shen Jiannan has never seen a time when lira is in a unilaterally negative factor and cannot find any reason to go long.

Yes, never, in two lifetimes.

Many stock traders who have traded before know that a listed company's good news does not mean that the price of securities will rise; and that a listed company's negative factors do not mean that the price will fall. Or, the fundamentals of a stock are very good, and its finances, profitability, dividends, development direction, and stability are outstanding in the entire market or in the same industry. It can be said that it is almost a machine that can make profits without losing money. , logically, it should rise.

But in fact, the price of this kind of security always behaves completely different from its fundamentals, and the final price difference may not even be as good as picking up a piece of garbage on the ground. And the junk securities named as the five black categories have terrible fundamentals, but sometimes, its spread income can make people dumbfounded.

It seems unbelievable and unreasonable.

Forex traders often face the same problem.

Why is the central bank cutting interest rates but the local currency is strengthening, why is the local currency depreciating due to the trade surplus, why is the central bank governor’s tough speech but the local currency is depreciating, and why the economic data is so bad, why is it still appreciating?

Should books on international finance be burned?

The answer, of course, is no.

When determining the price factor, the impact of a single factor on the price is not a direct relationship, but more of an expectation, and what really directly determines the price is money.

Therefore, the impact of a single factor on the market itself is not so reliable, and even if it has an impact, it may not be effective immediately.

But what if many factors in the same direction are superimposed at the same time?

The results speak for themselves!

The Deutsche Mark is the country with the largest weight in the Ecu, and now Deutsche Bank has almost directly stated that the Italian lira needs to depreciate, which means that the lira will never appreciate, and there is even no reason to do more.

At least until the lira is approaching the lower track of the floating mechanism, there is absolutely no reason to be long lira.

There has never been a target like this, and there is no logical reason for the opposite direction to be unilaterally found.

This has never happened before.

However, the Italian central bank must maintain the parity of the lira.

This point is very scary.

In other words, the price floating lower limit mechanism of the Italian lira will act like a magnet to attract the price of the lira to that position.

No matter what the Bank of Italy tries to do.

William, I'm glad you learned to think with your brain, but don't worry about this little problem. The Bank of Italy's interest rate hike will only make the situation worse. This means that Italy itself admits that the lira is now overvalued. And, no confidence in the lira.

.

Holding the phone, William froze for a moment, thoughtful.

For a long time, a hint of understanding flashed in his eyes. The regulation of interest rates is to leave room for monetary policy. When the economy is facing unfavorable factors, loose monetary policy is used to stimulate inflation. When the economy is improving, interest rates are raised. , tightening monetary policy to curb inflation, leaving room for future maneuverability.

Now, the Italian economy is sluggish, and what is needed is a loose monetary policy. If it is not helpless, it will not raise interest rates at all.

This is undoubtedly drinking poison to quench thirst, the more you drink, the faster you die.

Understand?

A great man is eight feet tall, and a little Mao Sai is suddenly enlightened by a few words. Your wisdom is as admirable as a mountain.

William. You are Chinese anyway. This flattery is worse than an old carrot. You are not ashamed. Read more idioms if you have nothing to do. Don't learn the corruption of capitalism every day.

.

After some teasing, Shen Jiannan hung up the phone and got up.

Waking up, Qina was wrapped in pajamas and saw his panties being handed over, and Yulia, who was bare-chested and backless, put on the shirt for him.

Just talking about the corruption of capitalism is known to others. Obviously, Shen Jiannan also enjoys this kind of corruption of capitalism. With the help of the two, the shameful Adam suddenly became like a dog, wearing a black suit. In a suit and a blue tie, he looks elegant and has an indescribable temperament.

My dear. You study the itinerary today. I think Italy will soon sponsor us a handsome travel fee.

Shen. Do you know that if people know what you say, a bastard like you will definitely be beaten to death.

Is it a jerk?

Jesus. You don't know what a jerk you are.

But don't you guys just like my bastards, lol.

Kissing the two of them goodbye like a dragonfly dipped in water, Shen Jiannan laughed out loud and walked out of the bedroom. He had some expectation that the market would be stunned when faced with a gadget made by a guy like Mitnick.

Eight in the morning.

Bank of Italy, Trading Department.

Looking at the giant LCD screen not far away, Qian Pi felt a little short of breath and heavy.

German mark: Italian lira, 1:810; German mark: US dollar, 1:1.482;, US dollar to Italian lira, 1:1200.45, French hair salon: to lira

Lira-weighted index, 521.00.

521.00

A very loving number.

But for Ciampi, he didn't think this number was so loving, not because he was Italian.

One and a half hours after opening in the morning, the lira encountered a large number of selling orders in the foreign exchange futures market. The three major weight ratios of the British pound against the lira, the deutsche mark against the lira, the franc against the lira, and the ECU with the highest weight ratio and the most active transactions were all short lira. positions, under the impact of these short positions, the price of the lira was quickly hit from 480 to 521.00.

This is a very bad thing.

Normally, the early morning transaction volume of the lira futures market, even in the London market, is only a few million pounds at most. The New York foreign exchange market, in the morning stage, is at most two million dollars.

However, today was uncharacteristically. In just one and a half hours, the turnover of Lira in the London foreign exchange market has exceeded 20 million pounds, and the turnover of the New York market has also exceeded 30 million U.S. dollars.

Obviously, Schlesinger's speech has attracted the attention of global capital to the lira.

Out of habit, Qian Pi raised his wrist to check the time.

At 8:10, there are only 20 minutes before the opening of the spot market.

Can the lira be held?

In the Colonna District, there is a building with a height of more than ten floors.

Kevin Mitnick was holding a thing that looked like an arcade button, and he kept demonstrating and explaining its use to a dozen young men and women.

The button here is to close the position. Just press it, and all the positions can be quoted instantly and confirmed.

This is a one-click open position. Suppose you want to open a thousand lots on a certain target, each time the price is increased by one TICK, and the transaction is divided into fifty times, then press this button, and the program will be executed.

this is