1928: The Rise of Giants

Chapter 442 October 10 (Part 24)

New York City Hall, large conference room.

It stands to reason that a Chinese like Ye Luo, who neither has a U.S. green card nor an entrepreneurial identity certification, is not qualified to participate in such an important meeting.

But today's rescue mobilization meeting, President Hoover personally came, and also invited the former president of Red Star United Group Rose Dewitbucket and the former vice president Ye Luo.

Who made them the first group to see through the risks in this storm?

Huixin held Ye Luo's arm and walked into the conference room with the flow of people. For the first time, she felt nervous and uneasy.

This is to meet His Excellency the President!

No matter how confident she was, she never thought that one day she would be able to get together with the President of the United States and have equal conversations and meetings.

This is too magical.

Feeling Huixin's emotions fluctuating, Ye Luo put his arms around her plump waist and squeezed it gently.

"Don't worry, I'll take care of everything." He chuckled.

Huixin looked at his smile and handsome profile and felt relieved.

Yes, with her man here, what else is there to be afraid of?

The two of them followed the flow of people into the conference room, and immediately saw Franklin in the wheelchair, and Ma Mourui, who had retired from the Ministry of Foreign Affairs but still had a sinecure.

The furious Hoover came in accompanied by his secretary, and everyone stood up to greet him.

Everyone knows that this money will be wasted if invested.

His bearish views on U.S. stocks were even ridiculed by Wall Street tycoons.

The four major families had made money in the Republic of China for so many years, and when they finally made money out, they only brought 200 billion US dollars.

"Everyone, I'll just say it." Hoover's expression was very grim. After all, "four more years of prosperity" was his campaign slogan. It had only been half a year and the economy was about to collapse. It looked like a joke no matter how you looked at it.

This situation reminded Ye Luo of the time when the principal wanted to fight a war and mobilized business groups to fund military expenditures.

It can be said that if the stock market evaporates 200 billion, the country's economic situation will be set back ten years!

"The U.S. stock market is already facing a desperate situation. If we don't rescue the market, all stock prices will fall by at least half this month."

The representatives from the six largest investment banks on Wall Street looked lonely and depressed, and they did not dare to look at Ye Luo.

Likewise, among a group of business representatives, the Chinese-faced Ye Luo also stands out.

Drinking poison to quench thirst will lead to chronic death.

"It's very simple. Cooperate with the Ministry of Finance and the Federal Reserve to invest a large amount of money into the stock market. First, take over the stocks that have been sold off. After stabilizing the stock prices, I will show up to explain to the people and let them buy the stocks again."

Hoover put his hands on the table and his voice was solemn and cold.

"The total market value of the U.S. stock market is estimated to be 400 billion US dollars. If it falls by half, it will be equivalent to 200 billion evaporating in an instant!"

During World War II, which shocked the world, the total military expenditure of the United States was only 300 billion US dollars.

Everyone was silent. There were rich and powerful people present, and they knew the concept of 200 billion US dollars better than most people in the United States.

This was the only solution Hoover could think of.

Everyone present also knew that Franklin and Hoover could not deal with each other and were political enemies. Moreover, Franklin was the leader of the faction that was bearish on the U.S. stock market. During his tenure as the governor of New York, he repeatedly warned citizens not to speculate.

During World War I, the total military expenditure of the United States was just over 100 billion US dollars.

"What should we do, Mr. President?" Franklin, as a local snake, could only say this.

At this time, those who were mocking him were sitting opposite.

The three of them greeted each other with their eyes, just like an underground party meeting.

Hey, politicians from all over the world really wear the same pair of pants.

"I agree."

"I agree."

“We are willing to provide each company with US$4000 million to rescue the market,” said representatives from six investment banks.

This is their biggest concession. US$2.4 million, almost one-tenth of the size, is indeed sincere.

Yello and Franklin were not surprised by this, because Wall Street is the back garden of the presidential cabinet, and the tycoons pave the way for the politicians they support and manipulate the economy.

Franklin had a bad relationship with Wall Street because the other party chose to support Hoover and gave up on him.

Therefore, Franklin suggested that Yello should be his Wall Street.

Representatives of other businessmen also expressed their opinions, but the one that offered the most was only US$1000 million, and most of them only offered US$100 million.

A drop in the bucket, meaningless.

Hoover's core goal was not to raise funds, because the current problems obviously cannot be solved by raising funds to bail out the market.

He wanted to brainstorm and find countermeasures.

His eyes fell on Ye Luo and Huixin.

The meaning is self-evident.

Among so many people, only Yello and Roger Babson have always been negative about stocks.

And Ye Luo was the former senior executive of Hongxing United Group. As soon as he was forced out, Hongxing collapsed. When he was there, Hongxing was at its peak, creating the fairy stock myth.

"I think we have to rely on the power of the banking sector to stabilize the stock price."

Seeing that the time was right, Ye Luo was ready to make the final stab.

"What Mr. Ye means is" Hoover looked at him.

Ye Luo answered truthfully: "The core reason for the current collapse of the U.S. stock market is the herd effect. To prevent a large number of retail investors and overseas capital from leaving the stock market, a group with sufficient weight must be involved."

"Major banks, investment banks, exchange owners, etc., these people will be much more persuasive than our business group. We don't necessarily have to invest so much money, but we must have behaviors and intentions that stabilize people's hearts and let them Feel it.”

Ye Luo said it in a vague way, but with Hoover's understanding, he could understand it instantly.

This method is not a random fabrication by Ye Luo, but the experience of blood and tears summarized by later generations, as well as a real rescue measure in history.

This is already the optimal solution.

It's a pity that it failed to save the collapse of the US stock market.

"That's a good idea." Hoover looked at the representatives of the banking industry and then at Richard, the president of the New York Stock Exchange.

Richard had no choice but to express his position: "I am willing to publicly purchase 100 million US dollars of stocks in my private name, and buy General Electric, which everyone is least optimistic about."

Ye Luo smiled from the bottom of his heart, "President Richard, I will accept your 100 million without any courtesy."

He has taken a stand, and other representatives of the banking industry can only follow suit.

Soon, five major bankers - Lamont of Morgan, Mitchell of Citibank, Porter of Guaranty & Trust, Witkin of Chase, and Prosser of Bankers Trust expressed their willingness to provide money to rescue the market. .

Led by these five major banks, a total of 20 banks were contacted to jointly form a "special rescue fund" to save the US stock market that was on the verge of collapse.

This is the determination of the banking industry.

As soon as a consensus was reached, Hoover asked his secretary to release the news and announce the establishment of the rescue fund to the public so that speculators would no longer panic.

Huixin was quiet on the side, wondering why the second young master really helped their enemy and started making plans.

Franklin and Mamuri also looked puzzled.

But with many lessons learned from the past, no one will doubt his actions easily.

(End of this chapter)