Chapter 296: Go and invite the stock god Chen Xing!
With the complete collapse of the island country’s stock market, the media in the neon island country also started to spread the word like crazy.
《Rare in the ages! The market fell sharply by 10% at the opening, and an epic stock market crash struck. Will the national team come to the rescue? 》
“Is the Asian financial crisis coming back again? The downward trend of thousands of stocks is obvious and can no longer be stopped. Cutting off the stock and fleeing has become the best option! 》
《The price of gold surged by 5%, and the source turned out to be the plummeting stock market! 》
The media in Neon Island Country is basically controlled by the Pilot Group, and bad news spreads at an unprecedented speed.
Looking at the crazy downward numbers, investors in Neon Island Country felt desperate, and they also vented their anger online.
[Jomaru Yukiharu]: "Don't we have the funds to rescue the market? Is our financial system so fragile?"
[Sataro]: "I will hold on if it falls again. I can’t stand it anymore, these damn U.S. dollar interest rates are rising, they are nakedly draining my money.”
[Murai Kazumasa]: “If the China Securities Regulatory Commission doesn’t take action, then I can only go to Ginza. I jumped off the building, I wasn’t kidding!”
[Yamada Mizu]: "Fortunately, I invested in gold. No matter how the U.S. dollar raises interest rates, or whether a financial crisis comes or not, it will not affect the price of gold. I even made a small profit of 5%!"
The impact of the U.S. dollar interest rate hike continues. While the stock market of the island country collapsed, many people with a sense of crisis began to buy gold, which pushed up the price of gold.
Buying jewelry in prosperous times and gold in troubled times is absolutely true.
Don’t think gold is rustic, but if the financial crisis really comes, all pearls and jade will fall. Only gold can show the effect of preserving value.
So every time there is an economic turmoil, the price of gold will go up.
However, what the people of the neon island country do not know is that the gold they buy is the second sickle raised by Wall Street.
Three days ago.
They bought a lot of gold.
Can you avoid the stock market?
Can you escape the harvest of gold?
Only half an hour after the market opened, the stock price of Panasonic Electric Co., Ltd., which was equivalent to 13 yuan in Longguo currency, had fallen by 30% and reached the price of 9 yuan, which directly pushed leveraged investors flat.
What is a leveraged investor?
For example, you only have 10,000 yuan and want higher benefits. At this time, the institution says, I can allocate 10,000 yuan to you.
1+1=2, this means that you have doubled the leverage to buy this stock, and your capital for stock trading is equal to 20,000 yuan.
When a stock rises by 5%, because you have double the leverage, it is equivalent to a 10% rise. Similarly, a 5% drop is equivalent to a 10% drop. If the drop exceeds 50%, the institution will Forced liquidation of positions may even lead to arrears.
This is only one time leverage. If it is ten times the leverage, a 10% increase is equivalent to doubling the principal, and a 10% decrease will close the position. It is precisely because of the high-risk gameplay that many people jump off the building. , ended his life.
At this time, in the Ginza Building in the Neon Island Country, due to the sharp drop in stock prices, the Neon Police had already predicted the operations of investors in advance and set up a cordon downstairs early, blocking this holy place for jumping off buildings in advance.
The national team of Neon Island Country is actually not idle either. They came to rescue the market early, but the effect was minimal.
They just bought 1 million shares, and Wall Street giants can sell 5 million shares.
The stock price not only cannot stop, but also falls faster and faster. A large amount of foreign capital is also withdrawing, and the funding gap continues to expand.
Fortunately, the Bank of Japan once again dispatched a second rescue team to purchase stocks related to the Nikkei 225 ETF, which is the 225 stocks with the highest weight ratio.
In addition, the companies corresponding to these 225 stocks are also buying back shares to jointly resist the financial crisis.
But what no one expected was that the power of US dollar interest rate hikes was far more than that.
Depositing in the Bank of the United States earns 5% interest, so why not convert the money into US dollars and then deposit it in the Bank of the United States to earn interest?
You know, that is U.S. dollar interest. If you include the currency exchange rate, the rate of return may exceed 10%.
In a flash.
Foreign currency exchange has become a popular item again.
In just half an hour, the Neon Island Country staged a stock market crash, soaring gold prices, and domestic capital flight...
......
Due to the time difference, Neon Island The island country's stock market was the first to open, and Asian countries are observing the development.
After witnessing so many changes, Lee Jae-yong, chairman of Korean Star Group, made a prompt decision and asked someone to draft a stock buyback announcement.
Korean Star Group's share price cannot fall, and it will never allow Wall Street giants to buy the bottom again.
The financial crisis in 1997 was a financial accident caused by inflation in the United States and leaving the whole world footing the bill.
It also made the Korean Star Group, and even the chaebol groups on the entire peninsula, pay a heavy price.
Korean Star Group is pretty good, because of the complicated equity agreement, it can barely control the operation of the entire group.
Groups such as SK, LG, Hanwha, etc., they cannot even control the operation of the group and must obey the decisions of Wall Street giants.
Of course.
This also has advantages.
At least the giant crocodiles will be gentle when harvesting.
“Pa-ta——”
Li Zhenzhen, who also stayed up all night and witnessed the tragic situation of the neon island country's financial system, lit up a lady's cigarette.
She took a deep breath, then spit it out heavily. She looked at the stock market data displayed on the computer screen and said, "How cruel. I actually destroyed Sony Group by 25% of its stock price. How much did you escape this time?" Funding? ”
How powerful Sony Group is, everyone who has played with lenses will be familiar with it.
To say that a giant in the field of optics is on par with the Carl Zeiss Group is absolutely no exaggeration.
Sony lenses, Sony headphones, and even TVs are all sought after all over the world, and the quality is needless to say.
The ability to drop Sony Group’s share price by 25% shows how serious the capital flight is.
Although Li Zhenzhen was feeling emotional, she did not buy the dip, because the continuous rise in U.S. dollar interest rates is like a toothache. The pain that continues is no less than a broken bone.
She is waiting for the opportunity.
She is waiting for the opportunity to enter the market and buy the dip.
……
other side.
Longguo Securities Regulatory Commission.
After witnessing the power of US dollar interest rate hikes, "Village Chief" Xiao Gang finally made up his mind to urgently lower stamp taxes.
Fortunately, there is a time difference, and they can make corresponding technical adjustments according to the stock market conditions of the neon island countries.
[In order to activate the capital market and boost investor confidence, the stamp duty on securities transactions will be halved starting from April 25, 2015. ]
After the announcement of the halving of stamp duty was released, the latter one appeared in Weibo hot searches.
In order to deal with this financial crisis, Xiao Gang has worked hard and even reached strategic cooperation with banks from the central bank.
Weibo information platform.
The hot search list has become "finance".
First place: U.S. dollar interest rate hike.
Second place: The island country’s stock market plummeted.
Third place: stamp duty halved.
Fourth place: A shares are about to open. It is not difficult to see from the hot searches just how serious the impact of the US dollar interest rate hike is, which can already be said to be a disaster level.
Like many big guys, some A-share investors also stayed up all night, wanting to witness the coming stock market crash and thinking of escaping as soon as possible.
However, with the emergence of hot searches for "stamp duty halved", online criticism of the stock market has gradually reversed.
[Big A Backbone]: "What? Halve the stamp duty? Brothers, the bull market is coming! Gold bars are being distributed in the village!"
[Quited to school and speculate in stocks]: "This may be an opportunity , the game of stock trading is that when others are timid, I am greedy, and when others chase the price, I leave the market."
[Second Senior Brother Learning]: "I have enough ammunition, brothers, if it dares to fall, I will dare to increase my position, it is a matter of making money. Don’t be cowardly, just do it!”
[Mountain Master of Putuo Mountain]: “The ten-fold leverage has been fully used. Either you are a young model in the club or you go to the sea to sell chrysanthemums. Whether you can succeed depends on this time. Big A gives it. Give me some strength!”
Every time stamp duty is reduced, it will lead to a bull market for several days.
What's more, this time it is not lowered a little, but directly halved, which directly reduces the cost of short-term bookmakers significantly.
Village chief Xiao Gang saw the wind review and was confident that he could survive this crisis.
But what he didn't expect was that although his A-shares were full of confidence and energy, there was no action on the Hong Kong stock market.
The reason is very simple. The Hong Kong Securities Regulatory Commission found out that Wall Street giants had borrowed a large number of stocks from Hong Kong institutions as early as two days ago.
What does this mean?
This shows that the US dollar interest rate hike has been planned for a long time!
This is the financial means used by the Fed, or the consortium behind it, to unite with Wall Street giants to harvest global wealth.
Knowing that the other party owns a large number of stocks, the Hong Kong Securities Regulatory Commission is in a dilemma and dare not say anything about lowering stamp duty.
Because the stamp duty reduction is equivalent to exempting Wall Street financial giants from a large amount of tax and providing transaction convenience.
Isn't it exempt from stamp duty?
How to stimulate the market?
It’s hard to make a choice.
The Hong Kong Securities Regulatory Commission has been discussing all night with no results. Now they have decided to wait and see what happens. If the decline is too severe, they will immediately let rescue funds enter the market to support the market.
Hong Kong stock investors are not stupid either. They can naturally see how the stock market of the island country next door is doing.
Learning from the past, the Hong Kong Stock Exchange was already crowded with people who wanted to sell their stocks as soon as possible.
As 9:30 arrives, Hong Kong stocks and A-shares open at the same time.
Wall Street financial giants have not invested in A-shares and have not made any big moves. However, affected by the US dollar interest rate hike, there is still a large amount of foreign capital withdrawing.
Village chief Xiao Gang is also a ruthless person, and he knows the importance of confidence very well.
In the past, market rescues were only done at the end of the trading session. This time, he wanted to pull up the market at the beginning of the trading session. He wanted to reassure retail investors first to avoid causing a financial stampede.
It can be clearly seen on the data page that the main funds have been flowing out, while northbound funds have been buying. The game of large funds between the two parties has kept the stock price in a stable range.
But the Hong Kong stock market is different. The mayor of the Hong Kong stock market chose to wait and see what happens. At the opening of the market, there was a 5% drop across the board, which directly exploded the mentality of retail investors. The Hong Kong Stock Exchange was filled with lamentations, and funds fled more and more. Come more and more.
In less than ten minutes, the Hang Seng Index fell by a huge 10%. Without funds to support it, Wall Street financial giants could not stop it. All stocks were being smashed.
……
And on the other side.
Buffett at the StarWorld Hotel in Hong Kong is quietly admiring this financial feast.
The price fell by 10% in ten minutes, which directly triggered the circuit breaker mechanism of Hong Kong stocks. Throughout the history of Hong Kong stocks, we have never seen such a magnitude.
But Buffett was not surprised, because it was not just Wall Street giants who participated in the crash, but also Hong Kong's own institutions and other foreign funds investing in Hong Kong stocks.
When the U.S. dollar raises interest rates, foreign funds will definitely withdraw immediately and invest in the United States to earn interest. Now, whoever runs slowly will be buried. This is an undoubted truth.
With many forces collectively being bearish, it would be surprising if the Hong Kong stock market did not fall. This is already the general trend.
"It's a pity that Longxing Technology is not listed on the market, otherwise we can take advantage of the opportunity to buy the bottom."
Buffett was slightly regretful.
If Longxing Technology was a listed company, a stock market crash of this level would definitely cause the stock price to plummet. They could deal with Longxing Technology Company just like they dealt with Han Xing Group.
The voice of Goldman Sachs Group CEO Lloyd Blank also came from the speaker of the mobile phone placed flat on the table.
"It is indeed a pity. It would be a wonderful thing if we could control Longxing Technology and let it make money for us."
"This is also the cleverness of Chen Xing."
Buffett gave a compliment.
Although he hated Chen Xing for teasing him again and again, he had to admit that Chen Xing had a very long-term strategic vision in business.
Unnecessarily, technology companies will not gain huge benefits from going public. On the contrary, they will also bring potential risks.
Not only did Chen Xing not list Longxing Technology, he also firmly controlled 100% of the equity, making it impossible for Buffett to start.
"It's just a little clever. He doesn't list the company, so he can only develop it in the Dragon Country. Which world-class company is not a listed company?" Lauld Blank sneered.
Want to continue growing?
Going public and becoming a public company is the first step.
If it is not listed on the market, Laald Blank does not think that Longxing Technology Company will have room for further growth.
Buffett did not argue with him, but smiled lightly and said: "Whether Longxing Technology is listed on the market or not, there will be no loss to us, but if Chen Xing dares to go public, then we will give him a severe punishment. It’s a lesson.”
“That’s right.”
Ralder Blank nodded.
The extent of his cruelty to Chen Xing is no less than that of Buffett.
Three consecutive defeats in the Dragon Kingdom caused his assets to shrink by 60%. Especially the third time was thanks to Chen Xing. If possible, he really wanted to short Longxing Technology Company.
While the two Wall Street giants were talking, the chain reaction of the decline in Hong Kong stocks came.
After holding on for half an hour, A shares finally began to show downward sentiment.
Many stock investors saw the sharp decline in Hong Kong stocks, and after a series of their own judgments, they believed that it is safest to keep their money in their pockets.
For a while.
A shares also fell.
However, with the support of mysterious funds, the decline was only about 2%. Compared with Hong Kong stocks, it was many times lighter.
The comprehensive crash of Hong Kong stocks has also caused the share price of rice companies to plummet. The share price of 30 yuan has reached 22 yuan. Many retail investors who listened to Chen Xing’s call to buy rice stocks were trapped. They also remembered That man.
In an instant.
Chen Xing’s personal Weibo fell into trouble.
In the comment area of the latest blog post pinned to the top, retail investors are soliciting opinions.
[Invincible God of War]: "The Hong Kong stock market has plummeted and the U.S. dollar has raised interest rates. Mr. Chen, please say something quickly. What should we do now?"
[Feng Xiaoxiaoxi]: "Mr. Chen, I was wrong. I shouldn't have sold even for 35 yuan. Now the stock price has plummeted and I'm buried in it. What should I do now?"
[Lonely Wild Wolf]: " Mr. Chen, please come out and take charge. Are you here? We need you!”
It was not Chen Xing himself who came out, but the hot search. With thousands of investors’ spontaneous comments generating enthusiasm, the entry “Go to Longxing Technology to ask the stock god Chen Xing” also became a hot search topic.
Village chief Xiao Gang looked at the sudden rise of hot searches and doubted life, wondering: "When did Chen Xing become a stock god?"
(End of this chapter)