Upon hearing the economist's words, the onlookers immediately felt that he was a reliable person and listened attentively. The economist believed that the global economic center was the United States and Europe, and that the rise of the Four Asian Tigers in recent years was due to the transfer of low-end industries. He also believed that in the future, Asia would probably not even be as good as Africa.
“Yesterday I watched an expert’s commentary on TV. From a technical point of view, the Thai baht is just a last gasp, a pullback. This is a classic triple sell signal. The baht is rising because it’s going to fall even deeper!” another person said confidently.
"Whether it's the major macro indices or the market, things aren't looking good. I've also been watching the container volume at Thai ports, and both imports and exports are declining. The data they're releasing is unreliable."
People around nodded in agreement. Looking up, they saw that the Thai baht, which had been struggling to rise, was once again suppressed by huge sell orders. Some people couldn't resist and rushed over to open short positions.
Quantum Fund and Tiger Fund are both running out of funds. At this point, besides hoping for retail investors, they can only look to their Wall Street counterparts. However, the big capital on Wall Street is hesitant to get involved easily. For example, if firms like Morgan Stanley and Goldman Sachs get involved, then a real war will break out.
With large corporations staying out of the market, private equity firms were extremely busy. Within half an hour of the market opening, they dumped hundreds of millions of Thai baht worth of goods, leaving the European delegation unable to lift their heads.
The value of the Thai baht fluctuated between 35 and 38, and the trading volume continued to climb, which was destined to be a fierce battle for both the bulls and the bears.
Soros frowned as he looked at the market. It seemed that Lazarus's second branch had not heeded his warnings at all. What kind of funds were behind this?
The calls from small agencies kept coming in. They had invested hundreds of millions without making much of a splash, and the calls were just to find out who the opposing party was.
“Tell them that Thailand is their last resort; a little more investment and they'll be in deep trouble.” Soros instructed his assistant, then added, “Contact some private equity firms, find managers who can trade, and get them involved!”
Within an hour of opening, Thai baht worth three billion US dollars had been dumped. The bulls held on to the 38 baht, which seemed like an insurmountable barrier to the bears.
Soros looked at it for a while, then picked up the phone and called Robertson. The two talked about who the Lazarus Second Branch was, but neither of them had any clues, let alone where the funds came from.
“But I have some new information. Do you remember Lu Feng?” Robertson asked.
"Lu Feng?" Soros pondered for a while before asking, "The one from China?"
“Yes, he was the mastermind behind this. I learned from a friend in Thailand that he was the one who introduced the European funds. However, this matter was kept highly confidential, and he didn’t know who it was.” Robertson said angrily, “This matter should be attributed to him.”
Soros sat there for a long time before saying, "Lambert is right, he's a troublemaker!"
“We don’t know how much capital the other side has right now. If they manage to hold out, there will be a stampede of panic selling. Even if Schroders comes in to bail us out, we will still suffer losses.” Robertson’s voice lacked confidence.
"So what do you mean?"
“I think retail investors’ funds have bottomed out. They’re holding on to 38 yuan. If they can’t push it down today, they’ll push it up tomorrow. Retail investors have low tolerance for losses, and we really won’t be able to get out. Let’s contact Lu Feng now and find out what’s going on!” Robertson suggested.
Although the phone call was somewhat humiliating, in financial transactions, it's perfectly normal to contact the opposing party by phone when you can't win a trade, or even to settle things privately.
“I spoke with him before, I contacted him, but we also need to prepare for the worst. You should contact some private equity firms and invest another two billion. If that still doesn’t work, then there’s really nothing we can do,” Soros said.
After the two agreed on the terms, they hung up the phone. Soros then instructed his assistant to call Lu Feng, even though it was already 1 a.m. in China and he knew Lu Feng was definitely not asleep.
The study was filled with smoke. Jiang Xiaoyan took Lu Feng's phone up to the third floor, pushed open the study door, and said, "Can you charge your phone here? It keeps ringing and people are calling you!"
Lu Feng answered the phone and asked, "Who is it?"
"I don't know, why are you up so late at night? What time is it?" Jiang Xiaoyan asked, frowning.
"I've been busy with things overseas these past few days, you should go to sleep first, I won't disturb you," Lu Feng said to her.
Jiang Xiaoyan didn't say anything more, turned around and went downstairs. Lu Feng waited for a minute, then his phone rang. He answered, "Who is it?"
"Hello, Mr. Lu!" came the voice on the other end of the phone, speaking fluent English.
Lu Feng pondered the sound for a moment and immediately realized that the other party couldn't hold on any longer. He quickly guessed who it was.
"Hello, it's been a long time since we last talked!" Lu Feng said politely.
"Do you know who I am?" the person on the other end asked, somewhat surprised.
Lu Feng chuckled a few times and said, "I guess it's Mr. George Soros."
"Wow! I have to say you're really smart. It's no fun talking to someone as smart as you in roundabout ways, so I'll get straight to the point. Can you tell me where the European funds come from?" Soros asked directly.
"European money belongs to the European people, of course. I don't know much about the others," Lu Feng said with a smile.
“OK! I know you won’t tell me, but I’m calling you for one thing only. We’re not saying we’re against Thailand; we’re helping her. I believe you understand Thailand’s internal problems. Too much speculation isn’t good for its development. Only when short sellers like us squeeze out the bubble can Thailand go further. So we’re not in opposition; our ultimate goals are the same.” Soros made his role clear from the start.
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