v3 Chapter 1322： Chicago Mercantile Exchange Backstab

Latest website: The crisis facing the Illinois Bank of the Mainland is not only unwilling to see the US government, but even the Rockefeller and Morgan consortiums are unwilling to see it.

So after the James McCormick event, other bigwigs also helped behind.

At noon that day, the main U.S. regulatory agency, the Office of the Comptroller of the Currency, held a press conference. The person in charge, Todd Conoville, publicly stated that it had no reason to question the repayment ability of the Continental Bank of Illinois.

In the afternoon of the same day, Moody's, one of the world's three major rating agencies, once again issued a rating for the Mainland Bank of Illinois, which was still AAA.

The two rounds of bombings really allowed foreign financial institutions to stabilize some of their confidence.

But by the end of the day, there are still as many as 16 banks applying for withdrawal of deposits, with a total of 1.06 billion US dollars in funds.

Harris Rohill, of course, would not be reconciled when he saw this.

He continued to manipulate the media behind the scenes to report the news of the mainland Bank of Illinois, and was no longer limited to the financial media, but expanded to other news media.

In these news, it was also pointed out that some banks have deposits in the Illinois Bank of the Mainland, and there is a risk of loss.

He wanted to use this method to force other banks to withdraw funds, so as to save himself from possible troubles.

In addition, he also used other methods. As a result, after he went to work on May 24, the Chicago Mercantile Exchange raised 50 million U.S. dollars from his account in the Mainland Bank of Illinois!

The Chicago Mercantile Exchange itself is an established large-scale futures exchange, where domestic and foreign financial companies gather together, and it has the influence of a weather vane.

In addition, the Chicago Mercantile Exchange is a loyal and old customer of the Continental Bank of Illinois, and the relationship between the two is very close, and the former should be the most clear about the latter.

When it chose to propose 50 million U.S. dollars, the news could not be hidden at all, and it spread all over the commodity exchange in an instant.

The heads of all financial institutions have scalp numb and realize that the problem has become more serious.

The biggest response was James McCormick!

When he heard the news, he jumped up from his seat, as if there was a fire under his buttocks.

In the face of facts, the assurances of the Office of the Comptroller of the Currency and Moody's proofs also appear vague and weak.

On the same day, mainland Illinois Bank's overseas customers made a large number of withdrawals, and the amount of applications in one day was as high as 1.57 billion US dollars!

Adding yesterday’s, a total of $2.63 billion in funds stopped rolling or was withdrawn in two days.

Mainland Illinois Bank's liquidity is about to be emptied, and only less than 50 million U.S. dollars are left, and this still weighs on the 780 million U.S. dollar withdrawal request that has not been approved.

James McCormick didn't dare to approve it at all, because it was approved and he couldn't afford to pay. At this time, holding down the application is the best way.

He immediately called Fed Chairman Volcker, Federal Deposit Insurance Corporation Chairman Ishak, and Director of the Financial Institutions Inspectorate Connova. The three were all nervous after receiving the news and immediately called their subordinates to discuss countermeasures.

And James McCormick did not give up on self-help.

That night, the patriarchs of the four major families of the Chicago Consortium gathered again.

"James, what is going on?"

As soon as he sat down, Kirsten Wood hurriedly asked.

James McCormick did not conceal the situation and informed the three of them. After speaking, he immediately said anxiously: "We must make a decision right away!"

"The situation will be worse tomorrow. It is very likely that the amount of withdrawal applications will exceed 2 billion US dollars, or even more!"

Walker Krone nodded solemnly: "Yes, we must give up."

"The Continental Bank of Illinois cannot fall. Our four banks have close business ties. If the Continental Bank of Illinois falls, our other three banks will also be at the core of the storm, and there will also be a risk of bankruptcy."

"The bank must not have any problems. If there is a problem, all of our companies will be unlucky!" Simmons Amo said with a sad expression on his face.

The four major banks are the financial core of the Chicago consortium, linking all the companies of the consortium.

Each company is a customer of the Big Four banks. Not only does the cash flow go through the Big Four banks, but there is also a large amount of loan business in the Big Four banks. The collateral is the company's equity.

If the four major banks went bankrupt or were taken over, it would be equivalent to the entire Chicago consortium being taken over.

Unless the company's loan relationship with the bank is interrupted in advance.

However, you have to have money too!

Now the four of them have taken money from other companies, and the total amount has reached 8.3 billion U.S. dollars. Now the capital chain of each company is tight.

Even if all of the 8.3 billion U.S. dollars were paid back, it would not be enough for the major companies to repay the loans. It would be nice to keep a portion of it.

"Let's not hesitate. Although James has applied for help from the Federal Reserve, the Federal Insurance and the government, the efficiency will be slower."

"Even if they choose to help, the funds are not free, and the amount is still unknown."

"Let's give up attacking the Canadian foreign exchange market. We have completely withdrawn. Not only the four major banks and other financial companies, but also our own private investment funds are also withdrawn."

"At the current Canadian dollar exchange rate, we have actually made a lot of money, which can be used to ease the crisis."

"Of course, we'd better surrender to the Rohill family and ask them to stop their attack on the mainland bank of Illinois."

Keston Wood sighed and proposed decisively.

"But they will seize the opportunity to pressure our prices, and we will make at least $200 million less!"

Simmons Amo smacked his lips and shook his head.

This is foreseeable. Clearance delivery, if it is delivered with several major Canadian banks and related financial institutions, it will definitely be the most deadly under pressure.

And if you trade with other newly entered hot money, then it may be better, but there will be big problems in time and efficiency.

After all, there are too few powerful big hot money.

Just the four major banks and related financial institutions plus the funds invested by them privately, up to more than 20 billion U.S. dollars, this batch of contracts is too large, and there is not much strength to eat. .

"We have no choice. If we surrender to the Roshir family, evacuate in all directions, and even help short-term, the Roshir family should be willing to give up and continue to attack us."

"After all, we have withdrawn, and there is no direct conflict of interest with them."

As soon as Kirston Wood finished speaking, Simmons Amo said: “No, if the crisis of the Continental Bank of Illinois expands, it can definitely contain the funds and power of other major domestic banks. This is an indirect weakening of the short-term reserve force , It is extremely beneficial to these bulls, they may not let us go."

"Forget it, give it a try, if they don't want to, then forget it." At this time, James McCormick finally expressed his attitude.

The others looked at each other and nodded in agreement.

"Let’s start tonight, let’s negotiate first."