Chapter 371: Sniping the British pound

At 8am on 1 May London time, two Rolls-Royce cars drove into London's Luton Airport, which serves private jets, one after the other. They drove directly onto the tarmac, where an aircraft was already waiting.

The car pulled up in front of the plane, and George and the Earl of Mountbatten got out one after the other. The earl said to George, 'It seems that every lunch has a beginning and an end. Although I would love to stay Mr. George to stay at the castle for a while longer and introduce you to my prized collection, but you still have a huge family business to deal with, so our meeting will have to end here with regret.'

George also said to the Count, 'I'm very sorry about this, but I must go back, but I hope that the loan from the Royal Bank of London will be available soon, as my family needs it very much.'

The Earl of Montbazon smiled and said, 'I think I have heard a lot about the difficulties facing the Greatwood Bank over the past period of time, but I also hope that Mr. George understands that the transfer of funds is not as simple as just changing a few numbers. . Especially when funds are transferred across countries and continents, as in our case, it involves exchange rates, the capital reserves of the countries involved, and so on. It is a very complicated financial project. I think you need to convince yourself to be a little more patient.'

As the head of the Daewood family, George certainly understood the problems of cross-border money transactions. He also understood that such large transfers of funds would not be as simple as an ordinary person withdrawing money from a different location. He would need to go through a lot of procedures, and of course he understood the efficiency of these British gentlemen.

'My dear Earl, I don't want to argue with you, but I suggest that this time be as short as possible.'

The Earl of Montbazon felt a little puzzled by George's words, so George went on to explain: 'Yesterday afternoon at the World Trade Center in New York, the head of the Don family, Don Ran, personally attended a press conference to sign an investment agreement with the Quantum Fund and announced an investment of 30 billion US dollars in the Quantum Fund. This happened right after the Royal Bank of London announced the loan to the Greatwood Bank. It's so strange.'

The Earl of Montbazon looked at George and asked, 'Are you saying that their goal is to target the loan that the Royal Bank of London gave you?'

George nodded and said yes. Montbarton laughed and said, 'I can only say that Mr. George, you are thinking too much, or I don't understand what makes you think that they can deal with the Royal Bank of London.'

George wanted to say something, but Montbaton raised his hand first and said, 'Don't say I'm too arrogant, but after hearing the news yesterday, I also investigated this quantum fund, but the results was very disappointing. The reason is that this quantum fund is just a very ordinary fund company. Although its past performance has been quite good, those so-called results are, in my opinion, nothing more than small fry and are not at all impressive. Do you understand?'

George was unable to say what he really thought at the end. How could he not understand what Munger was saying? Perhaps with the investment of Tang Ran and the others, the Quantum Fund could have reached a massive size of over 50 billion. However, he only invested domestically in the United States, with very little investment abroad. There was basically no record of direct investment, and this was the most important reason why Montbaton had the confidence to say that he was just a small fry.

How could a fund company with no experience of foreign investment possibly pose a threat to him?

But although this was the idea, George still felt a little uneasy. Ever since his encounter with Zhou Ming in Itely, he had always felt that Zhou Ming would not have made such a useless effort. To do something with such fanfare must mean that there was a big conspiracy!

George was absolutely certain of this, but what could the conspiracy be?

George didn't understand, and then Montparnasse patted him on the shoulder and said to him, 'If you can't figure it out, don't think about it. I can assure you that if the Royal Bank of London's have not been transferred to the account of the Great Wood Bank, then I will transfer the funds from my own private vault to you... Can you rest assured with such a guarantee?'

Monty had gone this far, so George had no choice but to thank Monty and board the plane.

The plane soon took off and Montparnasse went back to his car. But as soon as he was seated, the assistant in front of him turned back to report to him: 'A Mr. Zhou Ming called from the United States. He said that he hoped that the Earl of Montbazon could help cancel the 20 billion US dollar loan from the Royal Bank of London to the Greatwood Bank, otherwise the whole of the United Kingdom would pay the price.'

Montbazon was delighted. He watched his assistant reach for the phone in front of him and waved his hand first, saying, 'I'm not interested in answering such spam calls, so just relay OK, that Chinese guy called Zhou Ming, if he wants to do something, let him go ahead and do it, as long as he really dares to crash his head against the big iron door.'

After saying this, Mumba immediately signalled the driver to drive off, and as he reflected on the situation just now, he gave a contemptuous smile: 'I didn't expect him to have the ability to call me here. I guess it might have been the Morgan family who helped. But Morgan has terrible taste. This man, with this kind of utterly boring threat, I really can't imagine what kind of idiot he is.'

On the other side, at Martin's villa, Zhou Ming hung up the phone, and Martin immediately came over with concern, wanting to know what had happened on the phone.

Zhou Ming put his hands up in the air and said, 'Just as Morgan said, the Earl of Mountbatten is very proud. He didn't even answer my call, but just told his assistant to tell me to do whatever I want. He is not to be threatened.'

'Those damned British people, nothing but arrogance!' Martin angrily scolded.

Zhou Ming, however, had an expression of indifference on his face: 'In fact, this was to be expected. If I had just called him and he had promised everything and then really cancelled the loan from the Royal Bank of London to Daewood Bank, wouldn't that have been the most baffling thing of all? Because my intimidation doesn't go that far.'

'So a lesson needs to be taught to those Brits, because if you don't slap them hard, they won't feel the pain,' said Martin.

'This is my plan, and I certainly won't let him fail.'

Zhou Ming said said to Martin, and then gestured for Martin to go back to bed first. Only then did Ming-Chu pick up the phone and dialed Joel Roth's number: 'I'm sorry to call you so late, I hope you're not asleep.'

Due to the five-hour time difference between New York there is a five-hour time difference with London, so when the stock exchanges in the UK start trading, it is early morning in New York. This is why Zhou Ming said this.

'Mr. Zhou Ming don't worry, this is the first time I have actually carried out a financial attack on another country. Every nerve in my head is tingling with excitement. Unless someone gives me a sleeping pill, I won't be able to sleep even if you let me,' said George Soros and it was clear from his voice that he was indeed very excited.

'The commanders can easily get overexcited before a battle. This helps the commander to focus, but at the same time, they also need to get enough rest, because I don't want my commander to get injured or sick,' said Zhou Ming.

Jolose was very grateful to Mr Zhou Ming, and I think I will definitely take care of my health.'

Zhou Ming also said anything more, but gave him a few more words of encouragement and let him start his operation to snipe the British pound. Everything was just as Ming Zhou remembered. Through the Quantum fund and several other co-managed funds, selling pounds like crazy in London, while another account of George Soros was buying marks like crazy on another foreign exchange market.

This is how George How he operated. It may seem as if they were unconnected, but in reality they were not.

The so-called The European Exchange Rate Mechanism was the predecessor of the euro and the first step towards a unified currency for all of Europe. It was to unify the currencies of all member states.

This involved an issue involving the differences in economic conditions and interest rates in each country. Simply put, a country's economic situation must be good in order to maintain a relatively high interest rate. On the contrary, it is necessary to stimulate exports of goods by devaluing the currency in order to boost the economy. In fact, one of the important reasons why the two the two countries of the East have been able to develop into developed countries, one of the important reasons is that the exchange rates of their national currencies are quite low.

Maintaining a relatively fixed exchange rate is the basis for monetary unification among member states. However, if one country experiences inflation and therefore raises interest rates, the other countries obviously have to follow suit. But what if another country is unable to maintain high interest rates due to an economic downturn? Then is the collapse of the economic order.

This is what is happening in Europe is just like this. Germany has just experienced unification, and the country has experienced inflation, so interest rates have been raised. The UK therefore had to follow suit, but its economy is far inferior to Germany's, and maintaining high interest rates puts it in a very dangerous position.

So now George Soros is selling pounds in large quantities in order to trigger the devaluation of the pound by maintaining its inflated interest rate. At this time, George Soros also buys the relatively stable German mark. When the pound depreciated, George Soros bought it back for a profit.

To put it simply is that someone sells eggs for 50 cents each, while someone else sells bread for a dollar each. This means that one bread can be exchanged for two eggs. Originally, people exchanged them in this way, but suddenly one day, someone exchanged a lot of bread at the rate of two eggs for one loaf, and then sold the eggs in the market, maliciously driving down the price to 33 cents, then the other egg sellers will have to follow suit and lower their prices too. At this point, one loaf of bread can be exchanged for three eggs.

Then this person then exchanges the bread they have for their own eggs at a ratio of 3 to 1, then due to the change in ratio, after this person has exchanged all their eggs back, they will definitely still have a lot more bread on their hands, and this is the money they have earned. And in this business game, the British pound is the egg and the German mark is the bread.

However, as a well-known speculative tycoon in later generations, George Soros' financial tactics were of course not as simple as that. Since the devaluation of a currency will stimulate domestic exports and in turn boost the the economy. So while selling the British pound, George Soros also took out a large part of his capital and frantically bought the stocks of some British companies that did export trade.

When George Soros after completing this series of arrangements, a smile appeared at the corner of his mouth, and he leaned back in his chair with ease: 'Now we'll see how the British respond!'