This kind of fluctuation was not obvious a
t the beginning, until…
“The US Dollar 20-year treasury bond has
matured and there has been a lot of
selling orders in the market!”
When the news reached Soros, he was
taken aback.
“National debt? Someone shorted the
United States national debt?”
The hair on Soros’ body stood up and he
immediately pulled up the trading chart o
f US Dollar treasury bonds.
As a wealth management product
operating on national credit, treasury
bonds also had a special market for
trading.
It was very simple. If one used 100 US
Dollars to buy the United States’ treasury
bond, and the national debt was due in 10
years, the United States government
promised to give them 120 US Dollars
with principal and interest after maturity.
So, the interest rate in 10 years would be 20%.
However, many people might not be able t o wait for the date of its redemption, so they could choose to sell the treasury bond at a lower price in the market.
There was a more esoteric economic
factor too, which was the fluctuation of the US Dollar exchange rate. Once the US Dollar depreciated, a large number of selling orders would appear in the market, which would cause the value of the United States treasury bond to depreciate rapidly.
Once the treasury bond depreciated, it meant the decline of the country’s credit.
This was a very serious matter.
“The subprime mortgage crisis broke out,
the domestic financial market plummeted, and the US Dollar depreciated, but at this time, they chose t o dump a large number of treasury bonds! They are blatantly sucking the United States’ blood!”
When Soros saw that the market had fallen by 5 percentage points, he was furious.
Immediately after, he seemed to have thought of something and immediately asked his men to pull up the international gold futures trading chart.
Indeed, just as he expected, gold was rising!
The US Dollar was depreciating while gold was appreciating!
This meant that the exchange rate between the US Dollar and gold would become larger and larger.
As an international settlement currency, this would put the dollar system into a dangerous situation and on the verge of collapse
Soros was so angry that his lips were trembling
“JW Capital, damn JW Capital! Are they
going to start a world war?” There was no time to think about it. Soros
immediately asked to speak with Greenspaner, the chair of the Federal
Reserve.
However, he was told that Mr.
Greenspaner was negotiating with senior
Washington officials.
He did not even need to think to know
that this incident must have alarmed the
highest authority of the United States
government.
Time passed slowly. With every passing second and minute, the domestic financial market in the United States was falling. A large number of investors who were trapped and unable to sell watched a s their accounts got liquidated.
The economic crisis brought about not
only the evaporation of wealth, but also
social unrest.
Racial rights issues, human rights issues, and wealth disparity that had always existed in the United States society were slowly unveiled under the intensifying subprime mortgage crisis.
At this moment, in the Nauritus City Command Center.
“Continue to sell US Dollar treasury
bonds. Make sure the exchange rate of US Dollar to gold falls by at least 0.8% before the market closes today.”
Standing in front of Jake, Jasper looked up at the massive amount of transaction data refreshing on the screen, narrowed his eyes slightly, and said, “Totally enrage this group of capitalists. They will only panic if we hurt them enough. When that happens, it’ll be up to them whether they want to continue to target the domestic A shares market or defend the US Dollar system.”
