Chapter 1666

Name:Extraordinary Genius Author:穷四
"Feng Yu, what's the news you said? It hasn't come out yet?" Fu Guangzheng is a little anxious.

Feng Yu said that the price of crude oil will definitely rise this time, not only because Iran is bound to cut crude oil production, but also because of Feng Yu's analysis that the Federal Reserve will cut interest rates again.

It seems that the Fed's interest rate cut has nothing to do with the rise of crude oil, but it actually has a lot to do with it.

If the Federal Reserve cuts interest rates, the cost of using the US dollar will be reduced. The US dollar is the world's general reserve currency. The foreign exchange reserves of all countries in the world basically include the US dollar, which makes the US dollar almost as hard currency as gold.

As the world's general reserve currency, the U.S. dollar can be freely convertible. If the Federal Reserve cuts interest rates, then many people will change their dollars into convertible currencies that have not cut interest rates, or other commodities.

What kind of situation will this cause? That is, selling the US dollar and causing the depreciation of the US dollar.

It's like the financial storm in Asia. The Thai baht has been sold off and depreciated.

Do you think the U.S. dollar is devalued? Isn't the U.S. losing money?

It's not necessarily true that the U.S. dollar is not a foreign exchange reserve in the United States, but the euro and yen. And it can be seen from several interest rate cuts in China that this is a means to stimulate currency circulation and consumption, which can well stimulate the domestic economy.

Because at this time, the U.S. side has seen that their economic growth has slowed down and there are signs of recession. As the world's largest economy, how can we watch other countries grow faster than them? Especially in China and Russia, which they have been trying to suppress, the economic growth is too fast, which makes them very uneasy.

In this way, it can also hit those countries with very large foreign exchange reserves of US dollars. What is the main reason? The main ones are Asian countries, including China, island countries and so on, which are the world's largest foreign exchange reserves of the US dollar.

The devaluation of the US dollar means that their wealth reserves are devalued and their wealth evaporates.

This is a way to achieve more with one stroke, so although the Federal Reserve is not a political axe unit, it also represents the interests of the United States and those investors in the United States.

If the Fed cuts interest rates and the dollar depreciates, what will be the impact on crude oil futures?

Crude oil is linked to the US dollar. All crude oil transactions are measured by the US dollar. The fluctuation of crude oil price is also based on one cent. What is the impact of linking?

That is to say, it can strengthen the value of the dollar. Crude oil is the most common energy in the world. After being linked with the dollar, the United States can influence the price of crude oil to a certain extent, ensure their interests, and continue to expand the influence of the dollar.

Therefore, the fluctuation of US dollar price has a very important impact on crude oil. The devaluation of the US dollar means that a barrel of crude oil at the same price has actually devalued and its purchasing power has declined.

So how to keep the actual value of crude oil unchanged? It's very simple. Increase the price.

The original crude oil price of US $55 / barrel rose to US $60 / barrel, so the purchasing power was not even.

Feng Yu persuaded Fu Rongqi to reduce crude oil production and devalue the U.S. dollar, so the price of crude oil will inevitably rise.

But in the current situation, only Iran unilaterally announced the reduction of crude oil production, and other OPEC members did not say anything. Although they did not object to it, they did not support it.

And the Federal Reserve has not cut interest rates, the dollar has not continued to depreciate, how can the price of crude oil rise very sharply?

He Zhaoji told Soros that each family raised the price of crude oil with a cost of one billion dollars, which was actually used to suppress the dollar. Just as they had cracked down on the Thai baht, they kept borrowing from the bank and selling it at a low price.

There must be a loss in the price difference. Both sides agreed to prepare for a loss of one billion dollars.

But this part of the loss can be earned back through the rise in the price of crude oil. Moreover, the devaluation of the US dollar has no bad influence on the United States. At any time, they can reverse this influence by raising interest rates through the Federal Reserve, which is also a means of controlling the economy.

So Soros and wind and rain consulting work together to suppress the dollar, and he has no psychological burden, anyway, it is more in the interests of the United States.

In the second quarter of last year, the Federal Reserve came to cut interest rates, which really stimulated the domestic economy of the United States. At that time, crude oil rose to nearly $80 / barrel.

Then it slowly fell back to the normal level of $50 or $60, which is also due to the Fed's continuous interest rate hike.

Feng Yu believes that the Federal Reserve will cut interest rates again, but other people don't believe it.

How is it possible to cut interest rates again in less than a year?

Feng Yu looked at Fu Guangzheng anxiously and said, "wait a minute, the news is fast. If Soros didn't join us, we still have doubts, but Soros joined us, then this will happen. "

Among the clients of quantum fund, there are many big bankers, including the Federal Reserve Bank of the Federal Reserve. And Soros's friends, as well as the Executive Committee of the Federal Reserve, are sure to have this information channel.Of course, one of the executive committee members is Ralph's friend. As for how to make friends, that's not to mention.

From these people, we can know that the Federal Reserve really intends to cut interest rates again, stimulate the economy, and let people spend their money in the bank.

"But how long shall we wait?" Fu Guangzheng asked.

Feng Yu glanced at Fu Guangzheng and said, "Guangzheng, why are you so impatient? Although the price of crude oil has been fluctuating in recent days, but also rising in the volatility, we still have profits. "

"But the profit is far less than investing in stocks. If we use this money to invest in stock index futures, we will definitely make more." Pay all the right and wrong way.

Professor Liang shook his head: "Guangzheng, things can't be seen this way. Do you think we need to buy stock index futures urgently before, and then wait for the news of the Fed's interest rate cut and crude oil production cut to come out before entering the market

"In that case, the price of crude oil must have risen a lot, and our profit margin will be much smaller. And it's important that we're not wind vane anymore. "

"Now we have entered earlier, many investment institutions and hot money are staring at us, taking our operation as the wind vane. That is to say, to some extent, we can influence the price of crude oil. "

"The biggest advantage is that when we sell short in reverse, we can also drive other people to follow the trend, so as to ensure that we get the biggest profit."

"There is a question of initiative in this, which is the most important, and it can also minimize our risk."

Feng Yu suddenly asked with a smile, "Guangzheng, have you borrowed a lot of money?"

…… (to be continued. )