In addition, Mars Fund under DS Capital will also participate in the short selling of some US stocks.
As for the European market, it is mainly carried out by the funds under DS Group. You know, after the outbreak of the subprime mortgage crisis, the European market was the most affected in the world.
After all, many European banks and investors are also involved in the related claims of subprime mortgages.
The funds under DS Group have also begun to short the entire European stock market and related bond markets on a large scale.
The funds they invested in this have also exceeded 10 billion US dollars.
In addition, the stocks of some listed companies held by DS Group and related funds have been reduced in a rhythmic manner as those companies have been listed one after another. They have also recovered a large amount of funds and invested in this short selling. It
is also worth mentioning that Catherine Neville, formerly Mrs. Hall, still holds 8% of the shares of North Rock Bank. This part of the shares is still useful for Barron in the future.
But he also knew that in the subprime mortgage crisis, Northern Rock Bank would be deeply affected and eventually go bankrupt...
Therefore, these shares will naturally depreciate significantly.
In order to compensate Catherine, Barron instructed her to use the $50 million that Hall Bank sold to the Hall family at that time to buy Nvidia shares.
In addition, recently, at his instruction, Catherine used her Nvidia shares as collateral to obtain a loan from Standard Chartered Bank, and used it to short Northern Rock Bank's shares...
This can be regarded as her risk hedging strategy for her shares in Northern Rock Bank. Finally,
the Asian market, mainly the short selling of the Japanese and South Korean markets, is mainly Rich23 Capital. These two markets are also the most affected by the subprime mortgage crisis.
In fact, the subprime mortgage crisis will have disastrous consequences for the global economy.
But for Barron, it is not only possible to make money through this economic crisis, but more importantly, after the subprime mortgage crisis, the global economy has fallen into a recovery period after the bottom, many companies are facing bankruptcy, and the prices of some high-quality assets are also very low, which is the best time for him to acquire and expand.
Barron has no guilt at all for using the subprime mortgage crisis to expand profits, because in essence, the United States and its capital are accustomed to using the "dollar tide" to harvest the world again and again.
It's just that they messed up the subprime mortgage crisis this time.
What is the "dollar tide"?
It means that the United States uses the method of "raising and lowering interest rates" to control the flow of US dollars, just like the rising and falling tides of the sea, to harvest wealth around the world.
The so-called "rising tide" is that the United States expands its balance sheet, implements loose monetary policy and quantitative easing (QE) to increase domestic market liquidity, injects strong liquidity into the market while lowering interest rates, and increases money supply on a large scale to alleviate the rapid decline of the domestic economy and stabilize the financial market.
However, the monetary expansion and low interest rates of the federal funds at this time caused the dollar to depreciate, and the currency flowed out of the United States.
At this time, many American capitals carried dollars and entered other countries for investment.
These investments were mainly invested in the capital market and real estate market, leading to rising stock and real estate prices and forming asset bubbles.
After those asset bubbles are formed, it is time for the "ebb tide"...
The United States begins to tighten its monetary policy and implement balance sheet reduction measures such as raising interest rates, which leads to the appreciation of the US dollar and capital inflows. Therefore, the dollar capital invested in other countries began to sell off their assets after their asset bubbles were blown up, and returned to the United States with the huge funds obtained.
As for those countries where the investment was made, their asset bubbles burst and economic crises broke out due to the withdrawal of foreign capital, and then they would fall into social chaos.
After the completion of this cycle of "dollar tide" and a round of harvesting, the next round of "dollar tide" can continue...
The global wealth will be harvested by American capital in this way...
The economies of South America, Europe and Asia cannot escape this cyclical acquisition of the United States, but sometimes they mess up and damage the economy of the United States.
But for the capital as a whole, even if the United States is affected, the capital will not have too much problem - just like in the subprime mortgage crisis, some investment banks went bankrupt, but those were too much, and most banks received government assistance and finally survived the crisis.
As for ordinary people...
they can only pray for good luck. Anyway, the media is under control, and they can only complain at most, which will not cause too much crisis.
In the final analysis, the reason why the world can be plundered through the "dollar tide" is that after World War II, an international monetary system based on the dollar standard was formed. Banks and related institutions for currency settlement are all controlled by the United States. Therefore, the dollar is the de facto global currency, which enables it to complete the harvest through this tool.
This entire system is actually completed through the global military layout of the United States.
Of course, this has also led to the gradual shrinkage of the basic industrial capacity of the United States, while military industry and finance have become their pillars.
After all, who would be willing to work hard to develop manufacturing when they can make money easily through finance? Isn't it fragrant to buy other people's "fruits of labor" by printing money?
And as long as the control of the United States continues, even if there is an economic crisis in the country, they can pass on their losses to other countries through some tough measures. They are familiar with this kind of thing.
...
In January 2007, Clive Goodman, the editor of the News of the World responsible for reporting on the royal family, and Glen Marshall, a private investigator, were arrested by the British police and interrogated for wiretapping and obstructing the royal family's telephone communications.
In fact, as early as 2005, the News of the World revealed in its report that Prince William had injured his knee.
At that time, the royal family found that many of their phone calls had strange noises, so they protested that their phone calls were wiretapped and obstructed.
The British police began to investigate this.
When Barron returned to London, he learned through some news that during the interrogation, both Clive Goodman, the editor of the News of the World, and Glen Marshall, the private investigator he hired, denied that there were other people involved in this matter, but claimed that they did it to get "big news"...
Obviously, they are ready to take this matter on themselves. After all, if more people are involved, it will have a great impact on the News of the World and the News Corporation to which they belong. In this case, if they are "wise" enough, they will know what to do.
During the police investigation, News Corporation also did a lot of work. According to Barron's legal counsel, in the most optimistic scenario, the two people involved in the case would only receive a few months in prison.