Rebirth of the Financial Crisis Sweeping the World

  Chapter 163 163FMR shorted 1 million lots, plummeting for three consecutive days, floating 2,000 points!

  At this time, Feng Shaokun came over and asked curiously: "How is the situation?"

  This time, Wang Guanxi used 100 times leverage to short the Hang Seng Index. This risk is extremely high. As long as the Hang Seng Index rises by 200 points, Wang Guanxi’s account will be liquidated.

  In the morning, he also took a look at the Hang Seng Index, the fluctuations were very intense, and it was also a sweat for Wang Guanxi.

  After all, it is very normal for the Hang Seng Index to fluctuate several hundred points every day. With a leverage of 100 times, the position will be blown out all at once.

  In Wing Hang Securities Co., there are many small retail investors who apply for 100 times leverage, but 85% of these small retail investors have liquidated their positions.

  Wang Guanxi turned off the trading software, and smiled with lingering fear: "Fortunately, there is a floating profit of 25 million Hong Kong dollars for the time being"

  "That's not bad." Feng Shaokun smiled and said, "This Hang Seng Index is different from stocks. This stock has a small trading volume, but the Hang Seng Index has a very large trading volume. You should be careful and don't be too greedy when making money."

  He has seen a lot of retail trades. They clearly make a lot of money, but they don’t liquidate their positions and continue to be greedy. Then the profits are gone, and they even appear at a loss.

  It is very normal for the Hang Seng Index to plummet and soar.

  Wang Guanxi nodded: "Don't worry, Brother Feng, I'll be fine, I will definitely make a lot of money this time."

His entry position is perfect. The Hang Seng Index will definitely not continue to rise. Even if it rises, it will not rise above the 23400 position. He will not have the risk of liquidation. Since he shorted 10,000 hands of Hang Seng at the 23300 position. The index has set a profit of 6.3 billion Hong Kong dollars. Of course, he will not be satisfied with a profit of 6.3 billion Hong Kong dollars.

  "Good luck to you" Feng Shaokun smiled and said: "I am developed, don't forget me"

  He is the person who witnessed the rise of Wang Guanxi. It is hard to believe what financial genius like Wang Guanxi will achieve in the financial field in the future.

  It depends on talent to do financial investment. Unfortunately, he does not have this talent. He can only honestly work as a securities company, serve customers well, charge handling fees and interest. Although this kind of profit is not much, it is stable and lasting.

   "Of course" Wang Guanxi said with a smile: "Let's go, go to lunch"

  "Where to eat?" Feng Shaokun asked, "How about going to eat hot pot?"

  Wang Guanxi: “Forget about hot pot, there is a western restaurant called CRITURE nearby that is very good”

   "Okay, where to go then"

  Then the two came to the HQueen\'s Building, 80 Queen's Road Central, Central

  CRITURE is located on the 26th floor, with a panoramic view of the city from the window. The interior decoration style is simple and chic. The ceiling adopts copper as the base tone and matches the base tone of the black dining table. It is complemented by white seats and red wallpaper, which shows the classic time.

  Have lunch here, it is quite comfortable, you can release tension and excitement, leaning on the sofa chair,

  Lunch, very rich.

  Cherry pie, lamb chops, fried yuan scallops, yuzu chocolate pie, meringue butter tart, caviar pie.

   Honestly, this caviar is very good, Wang Guanxi killed two-thirds of it by himself.

  Feng Shaokun asked: "Would you like some wine?"

   "No need, I have to trade in the afternoon" Wang Guanxi said: "I want to keep a clear mind"

  After lunch, Feng Shaokun left with something to do, while Wang Guanxi came to the observation deck and looked at the scenery of Victoria Bay.

  He stands with his hands behind his hands, full of aura.

  At this time, several familiar voices came.

   "Guanxi, what a coincidence, you are here too"

   "What a coincidence"

   "Guanxi, where did you eat at noon today?"

   "Damn, did you short that stock today?"

  Wang Guanxi turned around and found four people.

   are Li Guangyu of Dingyi Financial Company, Guan Wenwei of Western Securities International Securities, Wu Hongsheng of South China Securities, and Wu Zhanhai of Wing Lung Securities.

   "What a coincidence, why are you all here?" Wang Guanxi walked over as he said.

  And have tea with them.

   Soon everyone started to talk about the stock market.

  Because Wu Zhanhai bottomed the Hang Seng Index last month, he had a floating profit of 2,000 points in his account and a floating profit of 400 million Hong Kong dollars. Now he has a great say. He has always been bullish on the Hang Seng Index, and he has the momentum to point the country.

  He has been out of bad luck for several months, unable to pretend in front of Wang Guanxi, this time he is finally exasperated.

  I learned in the chat that Li Guangyu, Guan Wenwei, and Wu Hongsheng have also entered the market, all holding long positions in the Hang Seng Index.

  We are rivals with ourselves. Although their funds belong to small institutions, they are not enough to affect the general trend of the Hang Seng Index.

  Wang Guanxi estimates that their holdings do not exceed 10,000 lots.

   So Wang Guanxi asked, "How many hands did you make? Do you have ten thousand hands?"

  10,000 lots, in fact, can make the Hang Seng Index rise or fall by dozens of points. Of course, there are also exceptions.

   "Almost" Wu Zhanhai said with a smile.

  The same is true. All four of them use 10 times leverage to do long Hang Seng Index.

  Wu Zhanhai holds 4000 lots.

  Li Guangyu holds 1,000 hands.

  Guan Wenwei holds 2000 hands.

  Wu Hongsheng holds 3000 lots.

  Wang Guanxi was not good at hitting their momentum, and he did not say that he shorted the Hang Seng Index. He used a one-hundred-fold leverage and shorted 10,000 lots.

   just offset the positions of the four of them.

  This is fun.

  At this time, a piece of news came out.

  [Russia is the first to sell US$40 billion in US bonds]

  At the end of last year, Russia owned US mortgage lenders Fannie Mae, FreddieMac, and Federal Home Loan Bank (FHLB) bonds totaling $100 billion.

  Due to the sharp decline in profits, Russia’s investment in these three mortgage lenders has now fallen to 60 billion U.S. dollars.

  Wang Guanxi remembers that the total amount of mortgage loans held or guaranteed by Fannie Mae and Freddie Mac is about 5.3 trillion U.S. dollars, accounting for almost half of the total mortgage loans in the United States!

  The debts and outstanding mortgage-backed bonds of the two companies totaled 5.3 trillion US dollars, while the public debt of the US government at that time was only 4.9 trillion US dollars!

  The two companies will suffer huge losses this year, with a total loss of nearly US$90 billion this year, and the market value has plummeted!

  In September 2008, the United States launched the largest financial rescue program in history. The Federal Housing Finance Agency took over Fannie Mae and Freddie Mac, and the Treasury Department injected a total of US$190 billion for the two companies.

  The two companies will eventually come back to life, but the market value is very low. In the future, Wang Guanxi intends to buy Fannie’s stock when the market value is lowest. In a few years, it won’t be a problem to make multiple times.

  Thinking of this, he has some expectations.

  Although he wanted to short the stocks of the two companies, compared with shorting the Hang Seng Index, shorting the stocks of the two companies would not make much money.

  His black shirt insurance company can mobilize funds to short the stocks of American companies, short Lehman Brothers, short American International Group (AIG), short Citibank, short Bank of America, etc.

Just look at how much funds Hong Kong Black Shirt Insurance can mobilize by then. After Wang Guanxi’s layout, before September 14th, it will definitely be able to acquire Asia Financial Holdings Insurance and Convoy Global Insurance, two insurance companies, and then mobilize all of them. It is really cool to short-sell several large listed companies in the United States with funds.

  ··

  At this moment, the giant institution with assets of up to 2 trillion US dollars, Fidelity Investment Group (FMR), headquarters in Boston, USA, has just finished a meeting.

  The theme content of the meeting is based on the suggestions made by the company's chairman Edward III.

  Because of the fear that the amount of stocks held will shrink severely in the future, I plan to short some stock index futures to avoid serious losses when the stock price plummets in the future.

   "Gentlemen, let's start today"

   Soon the order was passed to Andre, the president of the Hong Kong branch, and then Andre gave the vice president of the branch Si Xiuliang also issued an order to short 1 million lots of the Hang Seng Index.

  And Andre himself is personally responsible for shorting the Singapore index, the Nikkei 225 index.

  Si Xiuliang looked at his boss in confusion, and asked, "Mr. Andre, why should we suddenly short the Hang Seng Index?"

It has been rising recently and is quite strong. Shorting 1 million lots will make the Hang Seng Index fall a lot, but the market is not without other large institutions. For example, Singapore’s Temasek has hundreds of billions of dollars in assets and Singapore’s sovereign wealth. The fund (GIC) has more than 300 billion US dollars in assets, and the East Pacific Pension Fund (GPIF) has 15,000 US dollars in assets. The hedge funds under these guys are all watching every move in the Asian financial market. In normal times, He doesn't panic, but now the Hang Seng Index is very strong. If he shorts 1 million hands, he is a little panic.

  Andre said: "Execute the order, this is the arrangement of the headquarters, rest assured"

   "Yes, Mr. Andre, I'll make arrangements now." Then Si Xiuliang began to make arrangements.

  In the trading room, 5 experienced traders quickly fell.

  Si Xiuliang said: "Open in the afternoon, wait and see for half an hour, and go short."

   "Yes, Director General!"

  ··

  At this moment, Fidelity Investment Group, Boston headquarters, a director Rui Vasili, he has a good friend, owns a hedge fund, and holds many long positions in stock index futures in the Asian market.

  Now that the American Fidelity Investment Group plans to short stock index futures, he thinks it would be better for his friend to close the position immediately, so he quickly sent a message to his friend, asking him to quickly close the long stock index futures position in the Asian market.

  His friend, Doug O’Hara, opened a small hedge fund. Before that, he bought the bottom of the Hang Seng Index, totaling 25,000 lots, and currently there is a surplus of 2.5 billion Hong Kong dollars in his account.

  He feels that the Hang Seng Index can still rise, and he does not particularly want to close the position.

   So Doug O'Hara asked, "Vasily, are you sure you want me to close? What happened?"

  He didn't understand why his good friend Rui Vasili asked him to close his position quickly.

Rui Vasili: "You quickly close your position without any hesitation. Listen to me, otherwise you will lose a lot of profits. Although I can't tell you the specific reason, I can say with certainty that the Hang Seng Index is absolutely not Will go up"

  Doug O'Hara thought for a while: "Okay, I believe you!"

  In this case, it's time for him to play.

   Because of Rui Vasi's words, he panicked.

  He intends to close 25,000 long orders at once and come out early. What if the Hang Seng Index starts to fall sharply if the market opens in the afternoon?

  ···

  Soon the market opened in the afternoon, Rui Vasi immediately closed the 25,000-lot long order. Closing the long position is equivalent to selling in the market!

  The influx of 25,000 liquidation orders!

  The Hang Seng Index fell by 50 points in just 5 minutes, from 23,250 to 23,200.

Rui Vassi sighed inwardly, and finally withdrew safely, earning 2.375 billion Hong Kong dollars. This time, his record is very good. His hedge fund is a private equity fund, which is invested with client money. 2- 8 is divided, he will get 475 million proposals, and the rest is for customers. Of course, it won’t be divided until the end of the year. Now it’s not a hurry.

  And the Hong Kong branch of American Fidelity Investment Group, in the trading room.

  A trader asked: "Chief Secretary, have we started shorting?"

  Si Xiuliang pondered for a moment, and said: "Wait again"

  Wang Guanxi watched the Hang Seng Index finally fell to 23200, and he was overjoyed.

  "The Hang Seng Index should not return to the 23300 position by now, right?"

  This time he shorted 10,000 lots, with a floating profit of 100 points, and each point was 500,000. Now he has a floating profit of 50 million Hong Kong dollars, and his account net value is as high as 250 million Hong Kong dollars.

  I was really comfortable. He hurried to pour himself a cup of coffee, and Feng Shaokun, who was working on the side, congratulated him: "Guanxi, your entry position is really accurate!"

  Wang Guanxi went short this morning at a high position. At that time, the Hang Seng Index was still very strong. Unexpectedly, the Hang Seng Index became very weak when the market opened in the afternoon.

   has now fallen to the 23200 position, and the bulls in the market are struggling to support it.

  Wang Guanxi is going to make a lot of money this time. He is indeed envious, but if he goes short on his own, he dare not.

   "I guess, you have to make a lot of money."

  Said he poured tea for Wang Guanxi.

  Wang Guanxi smiled and said; "That's natural, Feng brother now enters the market to be short, it's not too late"

  Feng Shaokun politely said: “No, I don’t have so much money to go short now, and the Hang Seng Index fluctuates so much that people like me can’t afford it.”

  At this moment, in the café on the 26th floor of HQueen\'s Building, 80 Queen's Road Central, Central.

  Li Guangyu, Guan Wenwei, Wu Hongsheng, Wu Zhanhai and others are drinking coffee.

  Everyone chatted and laughed.

  At this time, Li Guangyu found something was wrong.

  "The Hang Seng Index just dropped 100 points, grass!"

  His face changed!

  The other three people's faces are also a little heavy.

   "MD, what's going on, it dropped 50 points at the opening of the afternoon"

   "My grass, what happened? Why did it drop 50 points suddenly when it was good?"

   Wu Zhanhai comforted: “Don’t worry, it’s normal. When I was bargaining, it was soaring and slumping. I’ve been holding it very steadily!”

  When he bargained at the bottom of the Hang Seng Index last month, he lost 150 points and then gained 2000 points, all of which resisted.

  Under his comfort, everyone felt better, and continued to chat without taking it seriously.

   Soon after 20 minutes, the Hang Seng Index has been oscillating at 23200, and it has not fallen. Everyone is relieved.

   "Hello, are you holding it up?"

   "As I said, the bulls in the market are still very strong" Wu Zhanhai smiled.

  Another 5 minutes passed.

  FMR Hong Kong branch, Si Xiuliang ordered: "Start short, short 100,000 lots first"

  "Yes, President" traders began to short.

  2000 hands!

  3000 hands!

  5000 hands!

  5000 hands!

  ···

  Under their short position, the bulls near the 23200 position were defeated!

  The Hang Seng Index fell 90 points to 23110.

  A few minutes later, it fell again by 10 points to the 23100 position.

  The bulls in the market are stuck here.

  At this moment, a core trader at DBS Bank watched the bulls in the market collapse. He thought about it. This morning he bought 100,000 lots of the Hang Seng Index, and now he has a loss of 150 points in his account.

  His name is Xue Leyi, and he is one of the world's top traders.

  This time Xue Leyi planned to retreat.

   At exactly this time, there was capital to enter the market and large purchases made the Hang Seng Index rush to the 23150 position.

  Xue Leyi watched the bulls become stronger again, hesitated, and finally did not choose to close the position!

  But the shorts in the market are not vegetarians, and soon knocked down the Hang Seng Index and fell to the 23100 position again.

  He did not hesitate to close the position.

  The long list of 100,000 lots was quickly closed.

  Close a position is equal to sell.

  These 100,000 lots of liquidation orders flooded into the market, causing the bulls who had become slightly stronger to be hit instantly.

  Let the Hang Seng Index plummet by 100 points.

   fell to the 23000 position!

   lost a lot of money, nearly 800 million Hong Kong dollars, but it was fine. Yesterday he made several billion Hong Kong dollars.

  For the FMR branch, Si Xiuliang watched the bulls in the market once again be defeated, defending at the 23000 position, and fell into contemplation, whether he should continue to be short.

  "President, shall we continue to hit the market?"

  "Let the bulls here collapse," a trader pointed at the trend chart and said: "A lot of bulls at the 23000 position are stuck here. Are we defeating them?"

  Si Xiuliang: "Wait first"

  Wang Guanxi was very happy. The Hang Seng Index plummeted this afternoon. At present, his account has a floating profit of 300 points, a total of 150 million Hong Kong dollars, and the net value of his account is as high as 350 million Hong Kong dollars.

  It's so cool.

  This time the Hang Seng Index will definitely not return to the 23300 position again, very stable!

  Li Guangyu, Guan Wenwei, Wu Hongsheng, and Wu Zhanhai are all a little worried and hope that the Hang Seng Index will be supported at 23,000.

  At this time, the Hong Kong branch of Goldman Sachs, a core trader, focused on the Hang Seng Index.

  This morning, he shorted 100,000 hands and smashed the Hang Seng Index by 100 points. He was the one who went in fast.

  'S name is Dikon Araus, and he made a lot of money for Goldman Sachs Bank.

  Now there are 250 points floating in the account, and he closed the position after thinking about it.

  Close the short list of 100,000 hands!

  Close a 100,000 short position is equivalent to buying.

  The influx of 100,000 lots of liquidation orders caused the Hang Seng Index to make a U-turn and rise, rushing up to 100 points, rushing to the 23100 position.

  This time, Dikon Alaus earned more than 1 billion Hong Kong dollars and has a good record. He turned off the computer and left the company.

  Here, he gets off work if he wants to get off work, and he goes to get off work if he wants to work. There are no big restrictions.

  The Hang Seng Index rose by 100 points, which made Li Guangyu, Guan Wenwei, Wu Hongsheng, and Wu Zhanhai relieved.

  “The bulls in the market are still very strong”

   "Yes, very strong, we don't have to panic"

   "Well, don't panic"

   "It will definitely continue to skyrocket."

  For the FMR branch, Si Xiuliang saw that the Hang Seng Index rushed up again, so he ordered: "Smash it down for me!"

   "100,000 hands!"

  "Yes, President" The traders started to hit the market.

  Hang Seng Index just stood at the 23100 position shortly after it was suppressed.

  The bulls in the market were caught off guard.

   Soon, the Hang Seng Index fell to the 23000 position again, and the bulls defended here again.

  The long and short sides are fighting again.

  Si Xiuliang put the bulls in the market at 23,000 so stubbornly that he shouted: “Continue to short 100,000 hands, don’t stop!”

  "The market bulls are crashing here!"

  "Yes, President", the trader continued to short.

  10,000 hands!

  10,000 hands!

  ··

  The bulls in the market collapsed at 23000.

  The Hang Seng Index plunged again by 100 points to 22,900.

  Si Xiuliang ordered: "Temporarily stop short selling"

  Although short selling was stopped, many retail investors and small financial institutions in the market who had previously bought at the 23,000 position closed their positions, causing the Hang Seng Index to continue to fall until it closed, dropping another 100 points to the 22,800 position.

  Wang Guanxi is so cool, there are 500 points floating in the account, totaling 250 million Hong Kong dollars, and the net value of the account is as high as 450 million.

  "This life is really happy, I made twice as much today"

  At this moment, Wang Guanxi is very excited.

  And Li Guangyu, Guan Wenwei, Wu Hongsheng, and Wu Zhanhai were pale, their backs were cold, and their hearts were terrified.

   "Grass, what should I do?"

   "MD, what's the matter, why did I fall so much today"

"Ugh!"

   "Be confident, don't panic, don't panic, you can't close your position now!"

  The four of them suffered heavy losses today.

  Tortured all night, and the next day, August 5th, the market opened on Tuesday.

  The longs of the Hang Seng Index exerted their strength, and a large number of buying orders poured in. In just ten minutes, the Hang Seng Index rose by 100 points and rushed to the 22,900 position.

  But Si Xiuliang was short again.

   "100,000 hands!"

   "Yes, President!"

  Then the Hang Seng Index fell to the 22,800 position, Si Xiuliang continued to shout: "100,000 hands again!"

  Hang Seng Index keeps falling!

  Si Xiuliang keeps shorting!

  100,000 hands!

  100,000 hands!

  ··

  The bulls in the market have completely collapsed!

  Hang Seng Index fell to the 22200 position!

   fell another 600 points.

  Afternoon closing!

  Calculating, Si Xiuliang shorted a total of 1 million lots, which caused the Hang Seng Index to fall from yesterday’s 23200 position to 22200, a total drop of 1,000 points.

  "Okay, the task is complete"

  This time, his boss Andre asked him to short 1 million hands of the Hang Seng Index, which has been completed and the effect is not bad.

  The average position of opening positions is 22,700, with a floating profit of 500 points, for a total floating profit of 25 billion Hong Kong dollars.

  Si Xiuliang did not expect that the bulls were already at the end of the crossbow, and he collapsed.

  "Waiting for follow-up instructions"

   "Yes, President"

  Then Si Xiuliang came to his boss Andre’s office and reported on the work.

  ··

  At the moment at Yongheng Securities Company, Feng Shaokun said with a look of admiration: "Guanxi, you have made a lot of money this time, and the Hang Seng Index has completely collapsed today."

  Today, the Hang Seng Index opened at the 22800 position. It first rose by 100 points and rushed to the 22900 position. However, it suffered a large-scale sell-off and kept falling until the closing price. It fell 700 points and fell to the 22200 position.

   Let Wang Guanxi make a lot of money.

   "Haha, fortunately" Wang Guanxi couldn't stop the happiness on his face.

  Now there are 1100 points floating in the account, which is 550 million Hong Kong dollars, and the net value of the account is as high as 750 million Hong Kong dollars. It is really safe.

  The real start to take off.

  The decline is just beginning.

  As for Li Guangyu, Guan Wenwei, Wu Hongsheng, Wu Zhanhai and others, it is extremely difficult to suffer, and today’s loss is beyond description.

   "MD, what should I do?"

"How to do?"

  “The Hang Seng Index has fallen so much”

"damn it"

  ··

  Not only four people, but also other large retail investors, small and medium-sized financial institutions, they all collapsed inside!

  At night, the U.S. stock market plummeted!

   once again brought panic!

  The morning of August 6th the next day!

  The Hang Seng Index opened, and three financial institutions closed their positions at the same time, closing a total of 150,000 lots, causing the Hang Seng Index to plummet!

  15 minutes, it plummeted by 200 points.

   fell from the 22200 position to the 22000 position.

  In the 15-minute chart, that is a long big Yinxian.

   "My grass, it's cool"

  Wang Guanxi looked at this big Yinxian, and his heart was ecstatic.

  The account has a floating profit of 650 million Hong Kong dollars, and the net value of the account is as high as 850 million Hong Kong dollars.

  Hedge funds soon entered the market to buy the bottom, and 50,000 hands hit the market, which caused the Hang Seng Index to rise by 50 points and rushed to the 22050 position. However, short-term traders in the investment bank short-selling.

  Hang Seng Index fell to 22,000 again.

  Here is the key point. It is the psychological line of defense for the bulls. Many financial institutions have begun to sell short!

  A large number of selling orders appeared!

  The buying on the market is swept away!

  The bulls crash again!

  Then the bulls stepped out the position!

  Hang Seng Index is simply declining!

  21900!

  21800!

  21700!

  Wang Guanxi’s account has a floating profit of 1600 points, a floating profit of 800 million Hong Kong dollars, and the net value of the account has exceeded 1 billion Hong Kong dollars!

   "Continue to fall!" He stared at the trend chart of the Hang Seng Index excitedly, clenched his fists, excited!

  Sure enough, the Hang Seng Index continues to plummet!

  The bulls collapsed.

  21600!

  21650!

  21600!

  21400!

  ···

   has been falling until the close!

  The 15-minute trend chart is full of dense big Yin lines!

  Today, on August 6, the Hang Seng Index plummeted by 900 points again!

  The day before yesterday fell 500 points, from the 23300 position to the 22800 position, yesterday fell 600 points, from the 22800 position to the 22200 position, today the Hang Seng Index fell 900 points, from the 22200 position to the 21300 position!

   plummeted for three consecutive days!

  There are already 2,000 points in Wang Guanxi’s account, totaling 1 billion Hong Kong dollars!

  The net value of the account is as high as HK$1.2 billion.

  And Li Guangyu, Guan Wenwei, Wu Hongsheng, and Wu Zhanhai looked like dead parents. Their faces were pale, their eyes were dull, and their hearts ached.

  Li Guangyu, Guan Wenwei, and Wu Hongsheng will face the end of a liquidation, and the profit in Wu Zhanhai’s account has all disappeared, from a floating profit of 400 million to a floating profit of 0

"This time we are finished, finished, finished, what should we do?" Li Guangyu of Dingyi Financial Company leaned on the sofa. This time his account had a loss of nearly 2,000 points. If it hadn't been added for some security deposits, his account It went out of business.

  The current account has a floating loss of 100 million.

"Oh, I don't know what to do? It's a shame!" Guan Wenwei of Western Securities International Securities, with a loss of 200 million Hong Kong dollars in his account, almost broke his position. Fortunately, he added the margin. He is very heartfelt now. Resent Wu Zhanhai.

   "Keep on carrying it, despair is useless" Wu Hongsheng of South China Securities lost 300 million Hong Kong dollars in his account.

   "Well, everyone, there is no more floating profit of 400 million in my account." Wu Zhanhai was also extremely uncomfortable in his heart.

  (End of this chapter)