Archived Financial Talent

Chapter 506 Citibank's Stock Price Plummets
When Citibank's $50 billion loan to Stanley Corporation had bad debts, Citibank's internal management has been making various preparations to prevent this risk.

The board of directors of Citibank also quickly dismissed Dave, and replaced someone on stage to preside over the work of Citibank, but such things are not ready yet, and their $50 billion loan from Citibank is news The media broke out.

Everything was just as the directors of Citibank were worried about. As soon as the news came out, there were several times more short-selling funds for Citibank in the market. Famous funds from all walks of life were constantly gathering, and their target was Citibank.

When the news first came out, Citibank encountered a run on, but at that time, fortunately, Citibank had a good relationship. When the economy was not good, it was able to borrow a large amount of cash from the country to deal with it. It took a great price to finally suppress the crisis.

But before Citibank could take a breather, there was another problem with the stock price on the secondary market.

After professional analysis, many well-known short-selling institutions on Wall Street have come to a common conclusion, that is, shorting the funds of Citibank at this time can make a lot of money.

Although many people know that Citibank's financial statements for the previous year were very good. Even in the face of the continuous economic downturn, the profit has increased. Looking at this data, Citibank has not been affected by the economic crisis.

However, there are still some people with unique vision who have seen the deep-seated tricks of Citibank. They think that the 50 billion US dollars loaned by Citibank to Stanley can be known. After spending that $50 billion, Citibank's profits should be down sharply this year.

At the same time, it was discovered that Dave, the CEO of Citibank who had been in charge of Citibank for several years, was dismissed by the board of directors at this time and replaced by someone who had no previous management experience in large enterprises.

Some people think that this move of Citibank may lead to huge turmoil in Citibank's internal personnel, and it is likely to bring a new crisis to Citibank.

So under the influence of these multiple factors, the big shots of those short-selling institutions began to enter the market to short the funds of Citibank, and the largest fund was Lin Feng's funds.

Zou Ming sat on a red Italian leather sofa with his legs crossed, watching the stock price trend of Citibank with a mobile phone in one hand, and a cup of coffee in the other to refresh himself.

"Boss, the stock price of Citibank has fallen by 50.00%, should we continue to short?"

When Zou Ming saw that the decline rate of Citibank had reached 50.00% recently, he quickly called Lin Feng. After all, Lin Feng had said before that once the stock price of Citibank fell by half, he would report to him. Then get ready for a new move.

At this time, Lin Feng, who was in Binhai, was inspecting the Starry Sky Science and Technology Park. Since the Li family was settled by Lin Feng, the Li family's equity in the Binhai Starry Sky Science and Technology Park has returned to Lin Feng's hands. Park has a [-]% controlling interest.

Standing at an intersection in the Science and Technology Park, Lin Feng looked at the continuous stream of people coming and going in the distance, and then turned his head to look at the dozens of floors of buildings around him, feeling a sense of pride in his heart.

When he first built this science and technology park, it was still a wasteland. Now, with the efforts of Starry Sky Group, the appearance of this place has completely changed in just two years.

Just as Lin Feng was feeling incessantly, the mobile phone in his pocket rang, and there was a pleasant ringtone.

Lin Feng took out his mobile phone and pressed the answer button. When Zou Ming on the other end of the phone said that the stock price of Citibank had fallen by half, the corner of his mouth twitched.

"It seems that Citibank is really in trouble this time."

"You immediately started spreading news of Citibank's problems in the market, and at the same time increased your shorting efforts against Citibank."

Zou Ming heard that Lin Feng was going to step up his short-selling against Citibank, and he didn't have time to react. He didn't understand why Lin Feng didn't enter the market to buy bottoms at this time. After all, according to his analysis of Lin Feng, he should be Want to buy a stake in Citibank.

"Boss, aren't you planning to invest in Citibank?" Zou Ming asked suspiciously: "If we enter the market at this time, it will be an excellent opportunity for us. If we miss it, the long funds in the market will increase, then the price we have to pay when we want to buy shares of Citibank will increase greatly.”

Lin Feng laughed loudly when he heard Zou Ming's words.

"Zou Ming, I can assure you that once we increase our short-selling efforts against Citibank, the short-selling power against Citigroup in the market will increase several times again, and the bottom-hunting funds will become even less. "

"After all, once those who enter the market to buy the bottom see that the stock price of Citibank is still falling, they will definitely become panicked, thinking that they are now buying the bottom when they enter the market. stocks in hand."

"We want to buy shares in Citibank, but we don't have to buy the shares ourselves."

"Once the stock price of Citibank plummets again, on the one hand, you take out our short-selling funds, part of it is used in the secondary market to buy shares of Citibank, and the other part is bought by other major investment banks. Options and various bullish financial derivatives."

After Zou Ming heard Lin Feng's words, he immediately understood. Only then did he know that Lin Feng planned to control the equity of Citibank through financial derivatives instead of directly buying Citibank's shares in the stock market.

If Lin Feng keeps buying Citibank stocks directly on the stock market, no matter how the Citibank stock price plummets, someone will always notice that there are funds constantly taking orders, and they will definitely know Lin Feng's intentions at that time. The addition of these funds and Lin Feng's rush to raise funds will likely bring huge difficulties to Lin Feng's investment in Citibank.

And if you keep buying various bullish products of Citibank through the financial derivatives market, once the time for fulfilling the contract arrives, those investment banks can only buy Citibank stocks on the secondary market and hand them over to Lin Feng. At that time, even if the stock price of Citibank went up to the sky, it had little to do with Lin Feng.

After Zou Ming figured out the key points, he silently praised Lin Feng's intelligence. At the same time, he finally understood why Lin Feng was the boss and he was just a part-time worker.

"By the way, is there any movement between Buffett and the Morgan family recently?"

After Lin Feng arranged Citibank's plan with Zou Ming, he remembered that Zou Ming hadn't reported the Morgan family and Buffett's movements to him for a long time, and he didn't know what the two forces were doing recently.

Hearing Lin Feng's words, Zou Ming quickly sorted out the recent capital movements of Buffett and the Morgan family in his mind, straightened his thoughts, and said slowly: "Recently, our people have investigated that Buffett and the Morgan family After joining forces here, we first cleared out the short-selling funds outside the Morgan family, and then there was no movement."

"However, I also discovered that the Morgan family seems to be planning to sell their family's farmland in every state recently, and it seems to be a large area, because they need a buyer whose strength is the threshold of hundreds of millions of dollars."

Lin Feng was stunned for a moment when he heard Zou Ming's words. The Morgan family wanted to sell the farmland, even the land left by their ancestors.

"Go and help me investigate the ins and outs of this matter right away. I want to know how much land the Morgan family is going to sell. If the area is large, you can register a company in country M. I want to sell the land of the Morgan family. Buy them all."

(End of this chapter)