That day, Ma Guoliang saw that Wangcai's hotel room was filled with various books, newspapers, and magazines, and that Wangcai was even taking out paper and pen to write and draw. He asked with great curiosity, "What are you doing?"
"Hmm, I'll look into the situation in Thailand. I'm very curious why both the boss and Soros believe that the Thai baht is a good target for attack."
Ma Guoliang then realized that although Wangcai was more interested in women, he was still very reliable when it came to serious matters.
Otherwise, he wouldn't have been noticed by the boss and become an important assistant in managing the financial market.
First it was the Mexican peso, then the Brazilian stock market, and now it's the Thai baht in Thailand.
After all, the fact that he was able to make it in the wolf-infested world of Wall Street, even though he had to leave due to failure, does not diminish his abilities.
Especially someone like Wangcai, who is capable, ruthless, and loves learning, is not to be underestimated when he gets serious.
"Oh, so have you made any progress?" Ma Guoliang couldn't help but ask.
"Of course, do you think all that homework you've done lately was for nothing?" Wangcai rolled his eyes and, before Ma Guoliang could retort, launched into a long speech.
For example, he mentioned that although Thailand has a strong religious atmosphere, its economic operating model is not conservative, but rather deeply influenced by liberalism and trusts the Washington Consensus, thus actively promoting the free market in economic development.
In April 1990, Thailand formally accepted its obligations under the International Monetary Fund Agreement and removed restrictions on international payments under the current account. The following year, it began reducing foreign exchange controls on capital account transactions.
In particular, last year, in 1993, Thailand took significant steps in its capital account.
Firstly, it opened up offshore financial business and launched the Bangkok International Financial Arrangement. Under this arrangement, 15 licensed Thai commercial banks and 35 foreign commercial banks can accept deposits and loans from abroad.
Secondly, it allows non-Thai residents to open Thai baht accounts at Thai commercial banks for deposits or loans, and allows them to freely exchange baht.
"Have you noticed that while relaxing foreign exchange controls may attract foreign investment and promote economic development, it also poses a huge threat to a country's financial security, making it possible for international speculative capital and financial giants to take advantage of loopholes?"
After listening to what Wangcai said, Ma Guoliang naturally understood the key point.
Isn't that how Mexico's financial market works?
Wangcai continued, "In recent years, funds from overseas have shown a trend of short-term speculative capital, which is becoming increasingly difficult to control and will damage its international balance of payments structure. Moreover, a large amount of foreign capital has flowed into the real estate and stock markets, significantly pushing up real estate and stock prices, and asset price bubbles are already very obvious."
"It seems your research has really yielded some results!" Ma Guoliang exclaimed.
Wangcai chuckled, looking quite pleased with himself. "Let's talk about external factors. With the continued strength of the US economy, the dollar has begun to appreciate. You know, every time the dollar appreciates, it's a major test for other countries, because capital will follow the strong dollar back to the US. But this time, the first to bear the brunt are these export-oriented countries in Southeast Asia."
"On the other hand, the Thai baht is pegged to the US dollar, so as the dollar appreciates, the competitiveness of Thai exports becomes weaker and weaker, while the cost of imports becomes higher and higher."
"Furthermore, as you said, the depreciation of the yen is very detrimental to an export-dependent country like Thailand. Since Japan is Thailand's second-largest export market, when the yen began to depreciate, Thailand's current account deficit inevitably began to expand sharply."
"The US dollar exchange rate has maintained an annual rate of 5.25%, while it is not as high in Thailand. The reason is the risk of inflation. Annual interest rates are often between 8% and 10%, and interestingly, the interest rates of major banks are all above 10%."
"The result is that a large amount of funds are being used for cashing out. Even Thai banks are willing to sell US dollars, Japanese yen, or German marks and exchange them for Thai baht. The amount of these foreign loans is as high as 1 trillion, and 90% of them are short-term debts with a maturity of less than one year. This means that the exchange rate of the Thai baht will be affected. At the slightest sign of trouble, this hot money will quickly slip away from Thailand. By then, Thailand will be razed to the ground. And now, it's up to us who will cause trouble."
Wangcai was about to launch into another long speech when Ma Guoliang interrupted him, jokingly saying, "Alright, you've passed! You can graduate now! Let's go celebrate!"
As he spoke, he dragged Wangcai out the door.
Wangcai readily accepts good advice.
Go out and experience the local culture of Bangkok; this is a must-do for them.
The streets of Thailand are completely different from those of Hong Kong.
Of course, the architectural style here can't compare to the people here.
Thais, regardless of age, love to wear perfume and heavy makeup.
Along the way, everyone who passed by had a faint fragrance about them, which almost made their noses stuffy.
When Wangcai was in Thailand, he did some research, such as on its unique "ladyboy" culture.
Thailand's tourism industry generates huge profits every year.
Every year, a large number of foreign tourists come to Thailand, making tourism a vital part of the Thai economy.
This not only made Thailand a lot of money, but most of the ladyboys also made a fortune.
Of course, they also have to spend money, get plastic surgery, take hormones, and take care of their bodies.
Thai ladyboys are considered a third category of people in Thailand; they are allowed to work and get married.
Thailand also frequently holds "ladyboy" competitions.
In Thailand's tourism industry, the songs and dances of ladyboys have become a shining brand.
Thailand is a paradise for many tourists.
So, Ma Guoliang and Wangcai went to an entertainment venue again to watch a ladyboy show.
Due to prolonged use of estrogen, these transgender women are far more beautiful than ordinary women.
These "ladyboys" are all professionally trained.
There are even professional academies here that train a group of "excellent actors" based on students' clothing, demeanor, and preferences.
At this moment, on the magnificent stage, the transvestites, dressed in gorgeous costumes, gave a passionate performance.
Looking at the transgender performers on stage, Wangcai praised them repeatedly.
"These transvestites are so beautiful, they're absolutely stunning, and incredibly charming."
Indeed, the Asian-style stage and costumes were breathtaking. Of course, their dance performances were also excellent.
"Wangcai, you're practically a China expert now! Those compliments you gave were so fluent!" Ma Guoliang exclaimed from the side. "By the way, they tasted good, didn't they? Have you tried them?"
"Hehe, I have to say, the taste of a transvestite is really good!" Wangcai stroked his chin, smacked his lips, and said.
Ma Guoliang suddenly regretted saying that extra word.
......
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