1928: The Rise of Giants

No one knows what was discussed at the Fed's emergency meeting.

Finance Ministry officials and members of Congress who attended the meeting also remained silent on the matter.

But the rumors from unknown sources are getting louder and louder. It is said that both the Treasury Department and the Federal Reserve are dissatisfied with the conniving attitude of Hoover and others towards the U.S. stock market at this time, and hope to issue monetary tightening policies.

Tightening monetary policy is a policy tool used by the central bank to achieve macroeconomic goals.

Simply put, this kind of monetary policy is an economic policy adopted when the economy is overheating, aggregate demand is greater than aggregate supply, and inflation occurs in the economy.

The central bank will control the money supply and raise interest rates to reduce investment and compress demand.

The decline in aggregate demand will bring aggregate supply and aggregate demand into balance and reduce the inflation rate.

The simplest way is to increase bank savings interest rates, so that people are more willing to put their money in banks or financial products, reducing the large amount of currency circulating outside. Correspondingly, this money will not continue to flow into the stock market and real estate market. place.

If the White House really announces a monetary tightening policy, it will obviously have a huge impact on the current U.S. stock market, especially those retail investors who are blind to the wind. They do not have strong funds to begin with. Under the stimulation of such a policy, it is easy to lose their money. All pulled away.

It's okay for one or two people, but if a large number of retail investors leave, it will cause shocks to the stock market, and the stock price drop is almost foreseeable.

Large investors who are earlier and more susceptible to this will withdraw earlier to prevent huge losses.

Their early withdrawal will accelerate the decline of the stock market, making retail investors flee even more without hesitation.

To put it bluntly, this is actually a very foreseeable situation. In ancient wars, anyone could see the flaws in the conspiracy.

However, this conspiracy is all about profit and loss!

You know this is going to happen, but you still can't do anything.

Can you persuade those big investors not to retreat?

joke.

Everyone cherishes their feathers, and they are not willing to waste even one dollar on a place like this.

Moreover, at this time, there was a crazy woman doing short selling.

If you don't run now, will you wait to be shortchanged and eaten by her?

Tonight, employees of the New York Stock Exchange's trading department are destined to have a sleepless night.

Especially Benjamin.

His mood now is extremely complicated.

Business representatives from U.S. Steel and other companies have called many times, trying to test Huixin's tone to see if she has the determination to follow through, or if she just wants to make a profit and run away.

When the bull market ends and the stock market falls, Huixin's attitude can affect many decisions of these companies.

If she just wanted to run away with a fortune, then they would accept the loss. It was nothing more than a loss of tens or millions of dollars, which was still within the acceptable range.

But if she wants to short-sell her company's stocks on a large scale and force their finances to oscillate, then she has to take a life-or-death decision and fight her to the end.

Benjamin didn't dare to call the crazy woman in the middle of the night, so he had to promise that America Steel would ask immediately the next day.

Generally speaking, if you want to completely short a super company like U.S. Steel, you must have extremely strong capital and have the right time, place and people.

Just a small range of stock market fluctuations is not enough to make Huixin completely short.

Therefore, U.S. Steel only made a symbolic inquiry to get a general understanding of the results.

But Benjamin couldn't guarantee it, because there was a crazy woman opposite him.

In short, the result of everyone's non-stop discussion tonight is that we need to find stronger capital to rescue the market——

If the situation is truly irreversible. The next day, June 4th, early morning.

Huixin arrived as scheduled in a Rolls-Royce. This time she brought enough bodyguards, and almost all of the people following Ye Luo were escorting her.

Hearing Shi Jianqiao say that even little Aqiao didn't receive such treatment back then made her feel a little happy.

But soon, the joy evaporated.

My status as a "wife" is destined to only last for this period of time.

Benjamin and others greeted the arrival of the big short outside.

Just in the early morning of the New York Times, some reporters started reporting on the secret meeting of the Federal Reserve. There was no mention of monetary tightening policy, but every word seemed to hint at the matter.

Other well-known newspapers did not want to lag behind, and deliberately wrote about this in the economic section to attract people to buy newspapers.

This grand occasion of eating human blood steamed buns seems to have implemented the policy that was still vague at first.

Late last night, the trading department of the New York Stock Exchange received several calls from chaebols, asking them to clear out part of their stocks in order to cope with the foreseeable stock market drop tomorrow.

Before the New York Stock Exchange opened, it was crowded with speculators waiting anxiously. Benjamin had seen this scene when the stock market was just booming.

Is a crisis really coming?

He was a little uneasy, so he quickly walked up and guided Hui Xin inside, who was full of beauty.

Such VIP customers do not need to wait in line outside. There are dedicated private passages that can directly enter the interior of the New York Stock Exchange.

In the New York Stock Exchange, where money is the only criterion, there are all kinds of so-called inequalities. As long as you have money, you are the uncle, and if you have no money, you are the grandson.

Only here, no one would have a problem with it.

The winner is the king and the loser is the bandit.

It is a universally accepted principle.

Huixin was sitting in the VIP room drinking tea and resting. This month was her eighth month of pregnancy. She had gone to the hospital for a check-up before and the doctor’s estimated delivery date was mid-August. She was told to prepare a month in advance to avoid any more complications. What strenuous activity.

She has been having a headache about this child.

This is Li Daren's child. Regardless of male or female, it is impossible for him to enter the Ye family, and he will never be recognized by the second young master.

Even as soon as the child is born, her status may plummet, causing the second young master to completely lose interest.

Who would be interested in a widow with a baby?

Huixin's expression was clearly anxious. If the doctor hadn't strongly recommended not to abort the child at this time, she would have gritted her teeth and had it aborted.

I caressed my belly, thinking about this kind of problem, but not daring to ask the second young master face to face. In the end, I could only swallow it and take it one step at a time.

Looking back at Shi Jianqiao who was sitting peacefully, she thought that maybe she could ask this young lady.

Although she seems to be the bodyguard of the second young master, judging from the conversation and actions between the two, she should be a close friend.

When Shi Jianqiao saw Huixin looking at him, he thought she was nervous about the stock market situation, so he quickly sat over and held her hand to comfort her softly.

At this moment, Benjamin burst into the VIP room panting. He didn't have time to apologize, and said loudly: "Husband, madam, the market is open!"

"How's the situation?" (End of Chapter)