"Hold the line, we must not let it breach seven."
Lu Liang stared at the financial account. Although they have invested $127.2 billion and suffered a floating loss of only $6.3 billion, with a loss rate of less than 5%, this is based on their continuous replenishment of positions.
If they retreat and the RMB exchange rate gets breached by the short-selling forces beyond the seven yuan mark, then the current $6.3 billion loss could escalate to $16.3 billion or even $26.3 billion in the next moment.
They cannot retreat, nor can they afford to.
This is a currency war, not child's play, and there is no middle ground. Lu Liang's decision to engage and defend the RMB from breaching seven before a US stock market circuit breaker was made with no room for compromise.
There are only two outcomes left for him,
either a great profit or a significant loss.
