1July 1997, the Asian financial crisis broke out. The hedge fund owned by Soros, a famous American financier, used Soros's original reflection theory to launch a series of persistent attacks in Asian countries and regions, and achieved great success, sweeping away the foreign exchange accumulated in these countries and regions for decades. After the financial wars in these countries ended, Soros took aim at the Hong Kong dollar and began to attack the Hong Kong stock market and futures market in a planned way. The Hong Kong dollar is linked to the exchange rate system and has an automatic adjustment mechanism, which is not easy to break. However, the interest rate of the Hong Kong dollar can easily rise sharply, which will affect the sharp decline of the stock market. In this case, as long as you short the stock market and futures market in advance, and then borrow a lot of Hong Kong dollars from banks, the interest rate of Hong Kong dollars will rise sharply and the Hang Seng Index will plummet, you can get speculative profits as in other countries. Since 1997 10, international speculators have made four attempts in Hong Kong's stock market, foreign exchange market and futures market, and the first three times have made great profits. 1from the end of July to the beginning of August 1998, international speculators attacked the Hong Kong dollar again through hedge funds, pushing up interest rates and interest rates. Obviously, their attack on the Hong Kong dollar is only superficial, and the stock market and futures market are the real main targets. Introduction to the east is Soros's consistent speculative means, which has been successful many times. Speculators sold stocks and futures index in the securities market, suppressed the Hang Seng Index and futures index, and made the Hang Seng Index drop from 10000 to 8000, reaching 6000. The rainy day is coming, and the bad news in the securities market is flying all over the sky. Speculators take the opportunity to make rumors and threaten that "the RMB can't stand it, and it will depreciate soon, with a depreciation of more than 10%." "The Hong Kong dollar will be decoupled from the US dollar and devalued by 40%" and "The Hang Seng Index will drop to 4,000 points". Its purpose is nothing more than disturbing people's hearts, creating a "herd mentality", and then taking the opportunity to fish in troubled waters. On August 13, the Hang Seng Index once fell by 300 points, breaking through the 6600 mark. At the close, the decline narrowed, but it still fell 199 points to close at 6660 points. Its trend is very similar to that of Shanghai and Shenzhen stock markets in the second half of 20001year. Landmines ring every day and fall every week. The trend of "knocking down" is shocking. While depressing the Hang Seng Index, international speculators have accumulated a large number of short positions in the Hang Seng Index futures market. Every time the Hang Seng Index drops 1 point, each short position contract can earn HK$ 50. Before August 14 19 trading days, the Hang Seng Index plummeted by more than 2,000 points, and each contract earned more than HK$100000, which shows the high income! In order to maintain the stability of Hong Kong's financial market, Hong Kong go-vern-ment finally decided to allocate huge sums of money to join the battlefield and launch a fierce battle with these crazy international speculators. This is a life-and-death financial war with money, will and wisdom as weapons, with three fierce battles before and after. On August 13, after the first round of Hang Seng Index was suppressed to the bottom of 6660 points, the Hong Kong Government mobilized Hong Kong, Chinese and British capital to enter the market and started a battle with rivals for the August stock index futures contract. Speculative capital means that the air force wants to suppress the index, and the Hong Kong government wants to hold the index, forcing speculators to sell contracts at a high level in advance, and cannot cash out at a low level before the end of August. After the Hong Kong government entered the market, it bought a large number of August stock index futures contracts with speculative funds, pushing the price up from 66 10 before entering the market to 7820 on the 24th, with an increase of more than 8%, which was higher than the average opening price of 7500 investment funds, and achieved initial results. After the market closed, the Hong Kong government announced that it would use the Exchange Fund to intervene in the stock and futures markets. However, financial snipers are still unwilling. According to the original plan, on August 16, they forced Russia to give up the action of defending the ruble, which led to the total collapse of the US and European stock markets on August 17. However, to their great disappointment, on August 18, the Hang Seng Index had a near miss, and closed down only 13 points. In the second round, the two sides launched a warehouse transfer war from August 25 to 28, forcing speculative capital to pay a high price. On the 27th and 28th, speculative capital swarmed out in the stock spot market in an attempt to outperform the index. At the same time, the Hong Kong government clung to the stock market. After eight days of soul-stirring battles, the contract price in the futures market in August was pushed up to 7990 points, and the settlement price was 785 1 point, which was 1200 points higher than before entering the market. On August 27th and 28th, the Hong Kong government accepted all the sales orders. As a result, the transaction amount reached HK$ 20 billion on the 27th and HK$ 79 billion on the 28th, setting a record for the highest transaction in Hong Kong. However, speculative capital is not willing to rest. They think that the Hong Kong government has invested about HK$ 1000 billion, which cannot be sustained for a long time. Therefore, they decided to move the time of shorting stock index futures contracts from August to September, and fight a protracted war with the Hong Kong government. Since August 25th, speculative capital has been shorting September contracts in large quantities while liquidating August contracts. At the same time, the Hong Kong government pursued victory on the basis of closing the contract in August, making the price of the September contract 650 points higher than the settlement price of the August contract. In this way, speculative capital has to pay more than HK$ 30,000 per contract. The investment capital completely failed in the contract competition in August. In the third round, the Hong Kong government continued to push up the price of stock index futures in September, forcing speculative funds to leave at a loss. On September 7, the financial management department of the Hong Kong Government promulgated new regulations on foreign exchange, securities trading and settlement to restrict speculators' speculation. On that day, the Hang Seng Index soared 588 points to close at 8076 points. At the same time, the appreciation of the yen and the stability of Southeast Asian financial markets have increased the capital and transaction costs of speculative capital, and speculative capital has to retreat. On September 8, the contract price in September rose to 8220 points, and the speculative funds transferred at the end of August had to close their positions and leave, and each contract lost another HK$ 40,000. On September 1 day, when the trading results of the spot stock market on August 28th were delivered, the Hong Kong government found that the trading shares of HK$ 146 billion could not be delivered due to loopholes in the settlement system, and speculators were able to escape.