Zhang Ruiqiang was puzzled by Feng Yu's reply. The prices of these minerals had been rising, and if they signed a long-term contract, the country should be the one benefiting.
Why did Feng Yu say the country was losing out?
Zhang Ruiqiang knew that Feng Yu will never reject him if he can help the country. That's why Zhang Ruiqiang did not think that Feng Yu was making up an excuse to reject him. But he could not understand why.
"Old Zhang, what we are importing is mainly energy, right?"
Although we also need other minerals, the demand is not high, and China's production is not low.
Hua Xia's demand for energy is increasing. Firstly, it is because of the population, and secondly, it is the result of industrial development. Simply put, other than power plants, which factory's energy consumption is low?
"That's right. Our main demand is coal and oil."
"Old Zhang, coal and oil prices had increased a lot in the past two years, and from this year to next, the price increase will be higher. It will at least double!"
Zhang Ruiqiang does not understand. Could it be that Feng Yu thinks that Kirilenko will not give a low price and wants to consider the price increase?
"But after next year, the price will fall rapidly and might even be lower than now!" Feng Yu said confidently. Signing a long-term contract will not set a fixed price. Instead, it will set a price range. But based on the current price range, China will suffer losses.
"What? The price will double next year and then fall rapidly? "Zhang Ruiqiang could not believe what he heard. How can the price fluctuate so much?
Even during the Gulf War, the price did not fluctuate so much. Furthermore, it didn't seem like anything big would happen next year. Why would the price fluctuate so much?
"Because I am organizing funds to enter the market. I am preparing to raise the price of oil, coal, natural gas, etc."
Zhang Ruiqiang's jaws dropped. "What do you mean? You alone can drive up the entire energy futures market?"
This should not be possible. Even if Feng Yu is the world's richest man, he can only use a few billion USD. Is this enough?
Feng Yu laughed. "Maybe I don't have a lot of funds. Even with Kirilenko and a few other influential families in Hong Kong, we only have slightly more than 100 billion USD. We still need to set aside some risk reserves. That's why we can only invest about 100 billion USD."
Zhang Ruiqiang's eyes widened. 100 billion? Does Feng Yu have that much money at his disposal? Didn't they say that the main assets of these tycoons were company stocks, real estate, etc?
Also, Feng Yu mentioned that Kirilenko and some Hong Kong tycoons' funds will listen to Feng Yu?
If it was a few billion USD, even this amount would be an astronomical figure. But with Feng Yu's reputation, those people would listen to Feng Yu. Zhang Ruiqiang would never doubt it.
However, the amount that Feng Yu mentioned was so huge that it should be the majority of the funds that many rich people could use, right? This is equivalent to betting more than half of their assets, and they are willing to bet?
"Why? You don't believe me? I am not boasting. But if I said that I am the one doing the trading, the number of tycoons who will send money to me will be enough to form a queue from your house to my house. "
Zhang Ruiqiang looked at Feng Yu with disdain. You are still boasting?!
"Also, this financial futures investment is leveraged. My 100 billion USD can have an effect of 1 trillion USD or more. Do you think it will be difficult to use such a large amount of funds to move one type of futures? "
"Also, I believe many people will follow my company's lead when they see my company investing. This way, I will have more funds and influence. "
Many investment institutions had been following Wind & Rain Consulting's investment direction and follow the trend to make money. Sometimes, they are more daring and make more profits than Wind & Rain Consulting.
This is without Feng Yu's involvement. If Feng Yu is involved, there will be more people following the trend, and the scale of the funds will be terrifying. Feng Yu only needs to use the leverage to move the prices, and he will have a large amount of funds to push up the energy futures prices.
Just like when Soros was speculating in the currency market. He did not have much funds, and it was those speculators who saw the benefits and followed him. Soros's funds increased, and the speculators' funds increased. That was how Southeast Asia became chaotic.
Soros is also very famous in the past, and that's why he can do so much. But now, which investor is more famous than Feng Yu?
"This is not right. Since you said you can push the energy futures prices higher, why are you retreating so soon? Shouldn't you be pushing the prices higher? Also, even if you retreated, others might not follow. Even if the prices fall, will it fall so much? "Zhang Ruiqiang asked.
Feng Yu points to himself. "If I can push the prices higher, I can also push it down!"
Zhang Ruiqiang: "… …" What do you mean? You are the one who set the prices?
"Old Zhang, think about it. Why are oil prices rising now? Why are the prices of other energy sources rising? "
Zhang Ruiqiang glanced at Feng Yu. "I don't know much about this, but I am in charge of trading, and I know about this. The USD has depreciated, right? "
Feng Yu looks at Zhang Ruiqiang in shock. He thought Zhang Ruiqiang does not know about this.
Everyone knows that oil prices are linked to the USD. The international oil prices are based on the USD per barrel.
When the USD depreciates, the value of a barrel of oil will fall. How can the value of oil not change? You must increase the price.
That's why every time the USD depreciates, oil prices will rise.
At this time, those speculators will enter the market and push up the prices.
Many people were normal investors to begin with, but when a large sum of money was used to inflate the price, who could resist not chasing after the price?
"Then do you know what is the disadvantage of USD depreciation?" Feng Yu continued to ask.
"We had studied this before. When the USD depreciates, the USD reserves we have will depreciate too. This is equivalent to our foreign reserves shrinking. "
Hua Xia's foreign reserves are increasing, and it has become the country with the most foreign reserves in the world. This is a strategy to fight against international risks. But when the USD depreciates, Hua Xia lost a lot of money.
At the same time, Hua Xia is also a big energy importer, especially oil imports. The price of crude oil is a big burden to Hua Xia.
"That's why the US is hurting us, and we cannot sit back and do nothing. We must teach the US a lesson!"
Zhang Ruiqiang was shocked by Feng Yu's tone. Feng Yu wants to teach the US a lesson. Although Feng Yu is the world's richest man, he can teach a small country a lesson. But Russia and Hua Xia cannot teach the US a lesson. Is Feng Yu not bragging?
… …
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