For a financial market, whether it was short or long, the scariest thing was the market's confidence.
As long as the market is confident, A shares can be worth 6,000 points.
If the market is not confident, A shares will drop back to 1,000 points.
When Soros took the initiative to admit that he was the mastermind behind the Thai airstrikes, his confidence had already started to crumble.
Soros knows what is going on. That's why he announced his identity at the most crucial moment. He wants to deal the most vicious blow to the already tense situation.
Soros' plan worked out just as he had planned.
After Soros announced his identity, the 18th day of the competition started with an unimaginable advantage.
In just an hour, more than 25 billion Baht of empty orders were placed. Only 5 billion Thai Baht was prepared by the Soros Foundation. The other 20 billion Thai Baht has nothing to do with Soros.
Where did the 20 billion Thai Baht come from?
"They are finally here!" Soros smiled when he saw the 20 billion Thai Baht.
This was because Soros knew that the international hot money, who had always liked to follow behind him, had finally entered the scene.
In fact, in the beginning, Soros hated these international hot money very much. This was because they always followed behind Soros and ate the meat. Soros was the one who built the empire, but these international hot money ate a basin full. Instead, they took a share of the profits.
That's why Soros hated these international hot money in the beginning, but he had no other choice.
But as time passed, Soros realized that these international hot money is not a bad thing.
Although these international hot money will follow behind him, there is only so much money on his plate. The international hot money can't get much from him.
On the contrary, these international hot money can boost his reputation. If he takes out 10 billion Thai Baht to short a country, these international hot money can take out 20 billion or even 30 billion Thai Baht to follow behind him.
This meant that his capital had increased by three or even four times. To Soros, this was an incomparably huge advantage.
In 1992, when he attacked the British pound, Soros said in an interview that he had only used 10 billion of the 12 billion USD he prepared. There is still 2 billion USD left.
However, Soros knew that he was in a very dangerous situation at one point. The Ying State was about to swallow up all of his funds. His 12 billion was not enough at all.
In the end, it was the international hot money that contributed. They followed Soros and increased his funds to about 40 billion US dollars. This was the straw that broke the camel's back. It caused the Ying State government to give up their resistance and caused the pound to plummet. In the end, Soros reaped more than 3 billion US dollars in profits from the Ying State. This was the most glorious battle of his life.
This was the power of international hot money. Now was the time for this power to make its debut.
With 20 billion Baht of international hot money entering the market, Thailand's financial institutions can't take it anymore.
In fact, the international hot money had arrived a long time ago. Those who had a good relationship with Soros, or those who had sharp eyes, had long realized that Soros was behind this.
They had followed Soros to short the market. If not, how can Soros get so much Baht to buy 15 billion USD?
Now, the 20 billion Baht that entered the market is from the international hot money. They are here to drink the last drop of soup.
Although Thailand's government managed to buy up these empty orders with the USD they still have, this is only the beginning. In the afternoon, more than 50 billion Baht worth of empty orders were sold.
Thailand's financial institutions hesitated. If they want to buy up this 50 billion Baht, they will need to use 2 billion USD.
Thailand is a small country, and their foreign reserves are only 30 billion USD.
In the past two weeks, to stabilize the market, they had invested 15 billion USD to stabilize Thai Baht's exchange rate.
If they were to throw in another 2 billion USD, they would use up more than half of the country's foreign exchange reserves within a month. This was a problem that any organization and the government behind them had to consider carefully.
That's why these financial institutions stopped buying the Thai Baht. They need to seek the Supreme Leader's advice and let the higher-ups make the decision.
After the government stopped buying the Thai Baht, the Thai Baht exchange rate started to drop. Within 20 minutes, it broke the 27: 1 baseline and reached 28: 1.
At the end of the trading day, the exchange rate broke 29: 1.
Thailand's higher-ups had decided to maintain the exchange rate at all costs, even if they have to use up all their 30 billion USD reserves.
This decision was correct, but it should not have been made too late. It interrupted the process of maintaining the stiff exchange rate.
For the past 18 days, Thailand had been holding on to the 27: 1 baseline, and everyone thought 27: 1 is the Thai Government's baseline.
Now, this baseline is breached. That means Thailand does not have enough funds, or they had decided to give up. Thai Baht is going to plunge!
Most people didn't know the truth. They would only analyze based on the information they received. Then, they would come up with such a logical conclusion.
After that, the market went into a panic.
Soros wants to grab this opportunity and use the media to spread the news that the Thai Government had admitted defeat. They will give up on maintaining the exchange rate, and Thai Baht will depreciate by dozens of times. Everyone's Thai Baht will depreciate rapidly, and it will become worthless.
The effects of these rumors are terrifying, especially when they are not targeted at all financial institutions. Instead, they are spread to all Thai citizens. Everything is over.
On the 19th year, when the Thai Government's higher-ups decided to save the market at all costs, they realized it was their own people who went crazy first.
Overnight, all the banks in Thailand were crowded with people, and the people had blocked all the bank entrances. These people only have one request, and that is to exchange their Thai Baht for USD.
"We cannot exchange! If we exchange, we will run out of money!" Thailand's Economy Minister shouted.
After that, the Thai Government announced to stop exchanging Thai Baht to USD.
The Thai Government's intentions were good. They wanted to protect their currency and fight the international airdrop market.
But this order destroyed the confidence of all the Thai citizens.
When the Thai citizens saw the government stopping exchanging Thai Baht for USD, it means the government has run out of money, and Thai Baht's value depreciated.
The exchange rate did not change, but Thai Baht became worthless in the market. Many shops and companies started to reject Thai Baht, and Thai Baht's value plummeted to below 50: 1 on the black market.
This time, the Thai investors, who are holding a large amount of Thai Baht, can't take it anymore. To protect their own interests, they started to sell their Thai Baht. In an instant, more than 100 billion Thai Baht orders appeared in the market.
When the Thai officials saw the huge number of empty orders, they were dumbfounded.
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