Siheyuan (courtyard house): My name is Shazhu!

Chapter 509 Good words are useless against a damned ghost!

On November 14, the Hong Kong stock index broke through the 13000-point mark. He Yuzhu and Zhao Youcai both believed that it was irrational for the index to rise further.

"Isn't anything going to be done? If this continues, Soros' Quantum Fund has a great opportunity to short sell, which will cause significant turmoil in Hong Kong. If not handled properly, the economy could suffer a severe downturn."

"Soros will attack the exchange rate first, forcing us to raise the exchange rate and interbank lending rates. Government intervention is to undermine the 'free economy' of the 'free port'."

Then, the stock market is suppressed, creating a vicious cycle. Rising exchange rates and interbank lending rates are the biggest negative factors for the stock market, making a sharp decline in both stocks and currency inevitable.

Actually, we all think that the stock market is more suitable at 7,000 to 8,000 points right now, and that supporting the market above 10,000 points would result in losses.

We can wait for the stock market to crash, and then after the stock index breaks through 15000 points next May, you can go on the TV financial channel a few times and express our group's attitude towards the stock market.

Those who listen benefit, those who don't are left to their own devices.

We can't afford to be suckers and take over their positions at too high a price. We'll only take over at 7000 points. Soros's previous investment cost for stock index futures was 7500 points.

Afterwards, we'll push the stock index up to around 8500 points on the settlement day, giving them a shock and seeing if they dare to come back next time.

And those like Soros dare to come to Hong Kong and brazenly try to reap wealth. After the settlement date, let the little eagle's stock market cause some turmoil for a few days. An eye for an eye, indeed!

"The little eagle's bank stocks are still frozen in Japan, and he's also suffered significant losses in the Arctic. It's worth a try. I'll arrange for big data analysis first."

The people of the port city are rich, extremely rich, and the gap between the rich and poor is huge, so huge that it's unimaginable.

There's no comparison between the past and the present; the most typical example is the wealth of the employees of Dongda Group.

Since the 60s, Dongda Group has awarded bonuses exceeding one million Hong Kong dollars, creating hundreds of thousands more 'middle-class families'.

They don't use their funds to buy houses; they invest almost all of them in the stock market or wealth management products, over a period of thirty years.

Many people listened to the advice and left the market immediately after Dongda Group issued a stock market warning. Almost none of them suffered any losses; instead, they made a fortune.

To date, there are tens of thousands of employees with a net worth of over 100 million yuan, which is unimaginable elsewhere!

He Yuzhu only learned about this through Dongda Bank, which is why they were able to keep such a clear picture of all their funds, as all of them flowed through the bank.

Hopefully, these people will listen to reason and the stock market will return to normal and rationality!

As expected, 'Dong' was elected as the new boss of Hong Kong City and came to He Yuzhu's office the next morning.

"I have read your policy plan, and it is very good. Keep it up. If you encounter any problems, let me know. We can have a gap between the rich and the poor, but we cannot allow the poor to not even have a place to live."

Our company also owns land in five districts of Yuen Long. If you are preparing some land, it will not be difficult to build 'public housing'. There are many construction teams, including many more in our hometown!

The "85,000" plan might even be expanded, letting those bastards who are only focused on making money in real estate and don't care about anyone else's life come looking for me!

"Thank you, Sir Ho. I want to implement this '85,000' policy. There are too many people living in places that are worse than dog kennels. Not to mention big houses, each person should have seven or eight square meters of housing."

Furthermore, during my term, I intend to undertake a major transformation of Hong Kong's economy, transforming it into Asia's 'technology hub,' which would do Hong Kong no harm.

"There are no downsides to becoming a technology hub, but it's very difficult for two main reasons: salaries are too high and the technology atmosphere is not strong."

In the 1950s and 60s, I also wanted to use manufacturing to change the port city, but it didn't work very well. The key problem was that the rich people didn't have the skills and didn't want to get involved in industries they didn't understand.

The same applies to the high-tech industry. Building a few factories won't be of much use to us; our technological foundation isn't strong enough yet. You need to be careful!

"Thank you, Sir Ho. Now I understand where the problem lies in building a 'science and technology center'. Don't we have enough talent in our universities?"

"It's not their problem, but how many people you can find to build a 'technology hub'. The biggest problem lies in the technology and other costs."

Twenty years ago, I built high-tech factories such as chip factories and wafer fabs in Malaysia. Twelve years ago, I was also building them in my hometown. Why not build them in Hong Kong?

There's only one reason: building factories in the port city was too inefficient. Twenty years ago, there was a shortage of talent in this field! Even now, the port city still lags behind those two other places in terms of talent.

"The finance and real estate sectors alone cannot support the entire economy of this port city!"

"Not necessarily. Now might not be the right time, but what about five or ten years from now? Put the 'Technology Center Project' aside for now. Something far more important will happen next year!"

"What big thing is going to happen to Sir Ho?" Dong was shocked. What Sir Ho considered a big thing must be something big.

"Financial crisis!"

He left with somewhat heavy steps. He knew that He Yuzhu would not lie to him about such an important matter. Just thinking about the possible things that might happen still made him shudder!

The financial crisis that has affected seven or eight countries and regions is terrifying and will have a huge impact on various economies.

He needs to stabilize his position after July next year!

In mid-February, the devastating news arrived. He Yuzhu was prepared, but it still caused him great pain. An era had come to an end, and it would not be subject to anyone's will!

He Yuzhu was still heartbroken after returning from the funeral, but she put her grief aside and continued with her life.

In March 1997, Soros's attack hit the Thai baht, which had the most serious economic problems, as expected, and the first phase of the financial crisis began.

The investment department of Dongda Bank also took advantage of the situation, using a cover to rip people off. They're bastards who wouldn't make money if they could.

Because they had a longer preparation time than Xiao Suo and his team, and used big data and modular processing, they earned more money than Xiao Suo and his team.

Xiao Suo didn't care about the reduced profits. The addition of another fund wasn't a bad thing. This was just a test. The main target area would require a large amount of capital.

It's not a bad thing for them to have more people join them; the greater the power, the greater the benefits—it's a simple principle.

Next, they want to deal with the Malaysian Ringgit exchange rate. There is no stock market here; all companies are listed in the port city. Malaysia's foreign exchange reserves exceed 1500 billion Malaysian Ringgit.

They hesitated about such foreign exchange reserves!

While these overseas funds, including Xiao Suo's, are still hesitating, Zhao Youcai, appearing on the financial channel of Dongda TV in Hong Kong, pointed out:

"The Hong Kong stock index is already at a high level, which is inconsistent with the normal economic performance of Hong Kong, and speculative behavior has begun to emerge. This phenomenon will likely last until the end of the year at the latest."

Zhao Youcai didn't say much, but he conveyed one clear message: Dongda Group is not optimistic about the current stock market and expects it to plummet before the end of the year.

As soon as the words were spoken, some stock market investors were happy while others were worried, feeling somewhat lost as they watched the stock market rise every day!

The reason is that before each stock market crash, someone from Dongda Group would warn all shareholders, and it turns out they were right. Whether they listened or not, the market would definitely crash within three months.

This time it's within nine months!

Those who are obedient and experienced begin to slowly sell their stocks and cash out their profits. No one sells all their stocks at once; there is still time.

Many more people were consumed by greed, focused solely on making money, and ignored Zhao Youcai's warnings. Most of these people were educated young people.

After fluctuating for more than ten days, the stock market continued to rise, without either consolidating or falling.

Dongda Group could only continue to tighten its loans to its subsidiaries' banks, and it borrowed almost nothing.

At the end of June, Zhao Youcai once again reminded investors on television that stock prices were too high, and that after a slight fluctuation, the stock market would continue to rise!

"They're courting death. Let's ignore them. If Xiao Su and the other funds don't arrive in September, then we'll remind them again. After that, let fate decide!"

"We are ready to confront these funds at any time and make sure they suffer a terrible fate!"

"A fund with a combined value of less than 100 billion yuan dares to cause trouble? They've got some nerve!"

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