Future chat group - Chapter 856 Accept the move
The exercise represents the transfer of risk exposure, and the position is slightly higher than the market price, which offsets the price difference previously obtained by the CCB’s foreign exchange and storage business department, which is equivalent to no profit.
On the other hand, it can also be said that CCB’s foreign exchange and savings business department is very decisive and confident. For them, even if they make no money, it is not unacceptable. On the contrary… Thunder is equivalent to being kicked out of the game immediately.
Because Lei Hao didn’t make any money, Lei Hao was just helping CCB directly build a position.
“Sooner rather than later. The longer you stay in a high position, the more floating chips you will absorb, but we don’t want you to enter.” Zhao Weihua made his choice in a very short time.
I don’t care what your attitude is, I only want my position. If you dare to cheat on me, I will kick you out.
Before January has arrived, the Thunder has completed this foreign exchange and savings business. It seems to be a good thing, but it is actually a lesson.
For a moment, Thunder fell silent. One second they were proud of their operation, but the next moment CCB backhanded it. The loss of the position was enough to make Thunder’s situation embarrassing.
The exercise of the option by CCB’s foreign exchange and reserve business department means that Thunderbolt will only be able to use 20 billion baht to earn bond coupon interest in the end, which is equivalent to helping CCB’s foreign exchange and reserve business department hold bonds. (If the exercise method is a futures contract, the interest will be separated)
“Big state-owned enterprises are really domineering.”
“These guys are as domineering as ever.”
“Is this considered a breakup?”
Many people in the Shanghai Stock Exchange, Thunder, and Fixed Income Department had helpless expressions on their faces.
Everything was a conflict caused by the foreign exchange and reserve business. At first, the state-owned enterprises wanted to suppress Lei Lei and gain the established advantages. Then after the contract was signed, Lei Lei used his own initiative to hurt others and slapped him. Now, the China Construction Bank’s foreign exchange and reserve business department has turned its back and directly slapped the company. Thunder kicked away.
Market behavior represents the will of institutions. From these actions, industry insiders can easily smell a strong smell of gunpowder.
“I wonder what Mr. Lei will do?” Thunder’s fixed income department employees are now looking forward to Lei Hao’s reaction.
In Lei Hao’s office, Xia Yibei also had some sweat on his forehead, and he was a little nervous.
Although the fixed income department did nothing wrong, the consequences were indeed not so optimistic.
“What are you so nervous about?” Lei Hao looked at Xia Yibei’s expression with a smile on his face, “The fixed income department is operating in the direction I pointed out. Do you think I will pass the blame?”
“No.” Being interrupted by Lei Hao, Xia Yibei was a little dazed, but after being stunned for a moment, his nervousness quickly subsided, and he said with a wry smile: “I’m just… a little nervous, after all, it’s China Construction Bank. “
“But we have brought the matter to the market level,” Lei Hao said with satisfaction: “Our goal has always been to eliminate other influencing factors of the matter, bring the other party into the market, and let the market speak for itself, isn’t it?”
“That’s true, but we have no position.” Xia Yibei frowned.
“Only the state officials are allowed to set fires, but the people are not allowed to light lamps?” Lei Hao felt very happy and said, “I am very satisfied with the current progress.”
Lei Hao didn’t lie, he was indeed satisfied with the current situation.
In fact, it is also a tacit understanding. As both Chinese-funded financial institutions, under the watchful eye of the central bank, it is not suitable for the Thunder to have too much conflict with state-owned institutions. However, everyone knows the urinal nature of state-owned institutions. It is impossible for the Thunder to accept the old Exploitation method.
Where there is suppression, there is resistance, but it cannot lead to bloodshed. The matter seems to be very simple. China Construction Bank and Thunder just used the Thai bond market to test each other, and finally reached a tacit understanding to promote the progress of the matter to the current situation.
You can make as much money as you have the ability. With the prospect that everyone must strengthen cooperation, it is very normal for each other to compete with each other. The central bank is happy to see the confrontation between Thunder and state-owned enterprises. Otherwise, why bother to involve Thunder in the adjustment of the reserve structure? Competition for business?
Now everyone’s situation is very clear. When Zhao Weihua takes away the position, it is equivalent to taking risks. When the Thunder loses the position, it also means that there is no scruple.
It’s just a mule or a horse that can be used for a walk.
“Send an OTC transaction offer to CCB’s foreign exchange and savings business department. We will short-sell 20 billion baht of Thai government bonds and let them take the order.” Lei Hao gave instructions.
Xia Yibei thought about it and agreed. However, before he could wait for the next instruction, a surprised expression suddenly appeared on his face.
OTC transactions can be traded over-the-counter. In other words, Thunder wants China Construction Bank’s foreign exchange and reserve business department to increase the bond market risk exposure of 20 billion baht to 40 billion, because the other party already holds bonds with a face value of 20 billion baht, and Thunder sells them short. In the past, it was equivalent to the opponent taking another 20 billion bullish position.
This kind of thing is not something that the Huizhu Business Department would do. China Construction Bank also has a bond income department and other departments similar to Leiting’s fixed income department, but Leiting bypassed all departments and directly issued an offer in order to show its attitude of accepting the offer.
Then what? Once you open a position, you must have the next operation, right? How do we suppress bond prices? How do we take advantage of capital? This series of things must be resolved eventually.
Xia Yibei waited for Lei Hao’s instructions, but what he saw was Lei Hao’s finished expression.
“That’s it for now.” Lei Hao saw Xia Yibei’s expectant expression and immediately guessed what the other person was thinking, but without explaining, he waved his hand and asked him to go out to work.
As the head of Thunder’s fixed income department, he is ready to take over the top management of KH National Bank at any time. If Xia Yibei can’t figure out this kind of thing, Lei Hao will have to consider replacing him with someone else.
Thunder’s operations in the Thai market have been continuing, and the bond market is only secondary. Thunder’s actions in other areas feed back to the bond market a bearish message, so Lei Hao does not need to take too many actions at all.
Moreover, the Thunder and CCB are just fighting in a small way. If you increase the scope of your actions, do you believe that CCB will dare to find the corresponding capital forces to put pressure? On the contrary, it is better to control this matter within a certain range and let everyone have the right to speak to the market.
“Making a profit of 10,000 yuan with a capital of 10,000 yuan is called skill. Making a profit of 10,000 yuan with a capital of 1 million yuan is called a joke. The interest rates are even higher than this.” Zhao Weihua from the CCB’s foreign exchange and savings business department was also lecturing. He was almost furious at his subordinates’ suggestions for additional forces.
Fighting for liquidity? Fighting for influence on the Thai market? Will the Thunder lose to CCB? Zhao Weihua didn’t even think about these things. He casually accepted the transaction offer from Thunder, and then silently prayed that his and the bank’s internal analysis conclusions were not wrong.
Lei Lei is bearish on the bond market, but CCB is bullish. However, CCB’s reason for being bullish is that the support for the bond market from interest rate cuts will be greater than the suppression effect caused by rising inflation. However…
From beginning to end, Lei Hao never thought Thailand would cut interest rates.