Hot-quantity money poured into Japan and immediately became the "top" in the international capital market

After the East China Sea crisis broke out, international financial speculators smelled the "bloody smell". Although the Sino-Japanese conflict eased after the Republic issued a diplomatic statement, as the "good news" spread, international financial speculators with more sensitive noses immediately flocked to show their strength.

By noon on the 13th, Yanbo and others transferred less than US$50 to Japan

That is to say, the hot money from international financial speculators is as high as US$250

At the same time, about $200 of hot money flows into China's financial markets

The rapid action of international financial speculators is more or less beyond the expectations of Yanbo and others. From an objective perspective, this is completely in line with the "market laws"

After the outbreak of the financial crisis, international hot money represented by hedge funds lost its main investment channels.

Over the years, although countries around the world have successively emerged from financial crises and economic development has been on track, creating more investment opportunities for investors, financial capital pursues high profits and high returns. Regular investment cannot satisfy their appetites. As long as there is a chance to obtain high returns, greedy financial capitalists will not stand by.

After the Fourth India-Pakistan War, international financial speculators swept the Indian financial market

According to incomplete statistics, India and Pakistan announced a ceasefire until the end of 2015, with capital flowing from India up to US$320, and most of them were the "results" of international financial speculators.

India's financial market is too small to meet the "bloody mouth" of financial tycoons

Last year, the Republic rejected the proposal to expand the regular period in the Security Council and international financial speculators set their sights on the financial markets of the Republic and Japan.

Because the Republic has not yet released exchange rate controls and cannot make free exchange settlement, international financial speculators are more concerned about Japan

In just a few months, the Nikkei 225 on the Tokyo Stock Exchange exceeded 47% of the 18,000 mark, and the capital return rate exceeded 27 times. The capital bubble was blown up several times. July 11th. The East China Sea crisis broke out. It opened in the morning. It only half an hour. The Nikkei index plummeted more than 10%. It was forced to temporarily suspend trading. After the afternoon, it fell more than 10% in less than an hour. The exchange was forced to suspend trading again. It was noon. The Nikkei index fell below 11,000. During the two and a half days, the Nikkei index fell more than 38%. The market price shrank by 33%.

In the first two days, most Japanese investors were very "optimistic" in the face of the plunge in Tokyo's stock market

The plunge in the eyes of some Japanese investors shows that the asset bubble has been squeezed out and restored to normal financial order is much better than a long-term recession in a tepid manner. After the plunge, there will be a surge. As the stock price falls to the bottom, investors start to enter the market and buy at the bottom.

On the morning of the 13th, trading volume at the Tokyo Stock Exchange stopped falling and rose.

As the Nikkei 225 numbers plummeted, the international hot money that had entered the market quickly escaped, causing the yen exchange rate to continue to weaken to 13 am, and the yen exchange rate against the US dollar fell from 104 on the 10th to 121.

At this time, Yanbo and others' funds entered the market, and the yen exchange rate rose slightly to 120

Because Yoshibo and others don't invest much capital, the investigation by Japanese financial regulators will not have any results.

As the Prime Minister who led Japan out of the haze of the financial crisis, Ozawa did not dare to be careless about the sudden influx of international hot money. After talking to Hatoyama, Ozawa ordered the intelligence department to intervene in the investigation and ordered the launch of the "financial intervention mechanism" to prevent violent fluctuations in the financial capital market.

Unfortunately, Ozawa failed to find the right direction

Japan's financial regulatory system focuses on "focusing" on the Tokyo stock market, not on the foreign exchange market

As the Nikkei index plummeted, international hot money that completed cash out operations will inevitably pour into the stock market again. After buying at a low price, it raises the stock price, blows up the capital bubble, and sells high again. The funds entering the market sweep by domestic investors in Japan. For the Japanese government, stabilizing the stock market and preventing the emergence of capital bubbles is the key to stabilizing the domestic financial market.

The small fluctuations in the foreign exchange market did not attract attention

Because Japan is a country that mainly focuses on processing and exports, in order to expand the export scale, the yen must be kept at a low price, so the appropriate depreciation of the yen will be beneficial to the Japanese economy in trouble.

The stock market and the foreign exchange market do not exist independently, and the two will influence each other and interact with each other.

The Nikkei Index continues to plummet, which will inevitably lead to the continued weakening of the yen exchange rate, causing the price of imported raw materials to rise, and the profit of enterprises to decrease, which will further lead to the stock market plummet, forming a positive feedback, and creating a vicious cycle. The Nikkei Index has a reasonable rise in the Nikkei Index, which will lead to the strengthening of the Japanese yen exchange rate, causing the price of export products to rise, the export volume decreases, and the export profit increases. Enterprises obtain appropriate profits, thus maintaining the stability of the stock market, forming a negative feedback, and creating a virtuous cycle. The Nikkei Index continues to surge, which will lead to the continued strengthening of the Japanese yen exchange rate. Export profits cannot make up for the losses caused by the reduction of export volume, and the company's profits will decrease, resulting in the stock market plummet, and the financial market fluctuates sharply, providing financial speculators with opportunities for speculation.

Judging from the possible situations, the Japanese government must intervene and maintain market stability

On the afternoon of the 13th, Ozawa held an emergency cabinet meeting to discuss and introduce temporary policies to maintain the financial market

Faced with the turbulent financial market, the Japanese government can use very stable measures.

In the just-concluded fiscal years of 2015 to 2016, Japan's fiscal budget deficit reached a record 47 trillion yen yen 2016 to 2017 budget is still being discussed in parliament, and it is difficult to get approval quickly. Although the turmoil in the financial market is not serious enough to require the government to rescue the market, the Japanese government cannot provide much money to rescue the market.

The difficulty of issuing an administrative intervention bill is no less than collecting funds for market rescue

After an afternoon of discussion, I couldn't draw any practical conclusions

Ozawa also has to admit that unless the domestic large group takes action, it will not be able to deal with the surging international financial speculators.

After the meeting, Ozawa spoke on the phone with Hatoyama to report on the results of the cabinet discussion.

The ball hit the foot of Hatoyama. Ozawa can't control what to do next

At this time, what really attracted attention was not the Japanese financial market, but a statement issued by the Japanese Ministry of Foreign Affairs at 30 p.m.

The content is very short: Japan will repair the burned navigation lighthouse on the Diaoyu Islands as soon as possible

Once the statement was published, it immediately caused heated discussion

In theory, the Ministry of Land, Infrastructure, Transport and Restoration of Navigation Lighthouse shall be responsible for restoring the Navigation Lighthouse, and the Ministry of Land, Infrastructure, Transport and Transport should also issue a relevant notice and the Ministry of Foreign Affairs shall issue a statement, indicating that restoring the Navigation Lighthouse is not a matter of Japan.

Will China make concessions on this matter?

After receiving the diplomatic note sent by the Japanese ambassador, Huang Guowei immediately went to the head of state to report the relevant situation.

"This is testing our attitude," Ji Yukyu smiled coldly and said, "If we keep silent and acquiesce to Japan to repair the navigation lighthouse, it is equivalent to making a major diplomatic concession, acquiesceing Japan's administrative jurisdiction over the Diaoyu Islands. If we issue a statement of condemnation immediately, it will cause the situation to deteriorate rapidly and make Japan wary."

"Even if the situation does not worsen, Japan is wary," Huang Guowei muttered.

Ji Youguo smiled and shook his head, "Your words make sense. If Japan is not wary, it will not let us go and test our attitude."

“The key is that our preparations are not yet in place”

"Time is not waiting for me," Ji Youguo sighed, "The Ministry of Foreign Affairs released the news in the morning, and Japan responded in the afternoon, indicating that the top leaders of Japan have realized the seriousness of the situation and concluded that we will take decisive actions. Although we are still fighting a 'mouth war', it will take no time to do it. Since we have already released the news, we cannot make a comeback and make a statement as soon as possible."

"Official statement?"

Ji Youguo nodded and said, "You come forward in person and firmly oppose Japan's activities to infringe on the Diaoyu Islands to make the point. Don't be tepid."

"I'll prepare immediately and strive to hold a press conference before 5 pm"

Ji Youguo did not delay the foreign minister's precious time. After Huang Guowei left, he spoke to Peng Maobang on the phone.

"I read the news and said that Japan is too arrogant. It actually expands the situation at this time. If we do not take decisive actions immediately, not only will the country be disgraced, but our foreign policy will also be questioned."

"Old Peng, don't be so excited." Ji Youguo leaned on the chair and took two cigarettes slowly. "I have arranged for Huang Guowei to prepare a stern diplomatic statement and strive to hold a press conference before five o'clock."

"Is it useful?" Peng Maobang's tone was very excited. "If diplomatic actions were effective, the problem would have been resolved long ago."

"I understand what you mean, otherwise I won't call you. I wonder if the diplomatic statement does not work, is there any way to punish Japan without causing a conflict immediately?"

The Chief of Staff on the other end of the phone pondered for a while and said, "There must be a solution, but I must let it go."

“Can you guarantee that the situation will not be out of control?”

"I dare not guarantee absolutely, I can only do my best."

After pondering for a while, Ji Youguo said, "Tell me about the specific method."

"If we want to repair the navigation lighthouse on the Diaoyu Islands, Japan must dispatch ships and helicopters. We can dispatch the East China Sea Fleet to intercept the situation as long as the Japanese Maritime Self-Defense Force does not fire first."

“Is it effective?”

Peng Maobang hesitated for a while before saying: "Just intercepting transport ships will not be too obvious. If necessary, we can kill several Japanese submarines to let Japan know that our means will expand the situation and whether the war will be detonated depends on whether Japan is willing to remain silent."

"Is there any other way?"

"The only way I can think of now is this." After pausing for a while, Peng Maobang said, "Old Ji, I know what you are thinking. Since the conflict cannot be avoided, we should start as soon as possible. Even if Japan immediately sends ships to the Diaoyu Islands, the situation will not worsen within two to three days. What should we do later? We have already discussed it."

Ji Youguo pondered for a while and said, "You are right, just do it."

After putting down the phone, the head of state walked to the window and looked out at the garden.

It is not an excuse to detonate the war, but an interest

damn it*
Chapter completed!