Rebirth of the Financial Crisis Sweeping the World

  Chapter 256, 256 shocked the global skyrocket! Play with Indians!

  In the luxurious box.

  Wang Guanxi and others ate Cantonese cuisine while talking about the world financial situation.

  And many things are happening in the world.

  【The U.S. government is establishing a special agency to purchase bad debts to deal with the crisis】

  【Global financial fires and global commodity futures】

  【AIG Group is facing a clearance sale, the stock **** Buffett is determined to choose the cheapest】

  【AIG Group FireWire changes coach, Edward Lidi becomes CEO】

US Secretary of the Treasury Paulson chose 62-year-old old friend Edward Liddy to succeed Robert Willenstad as the CEO of American International Group (AIG). The number one task is how to split the world. The largest insurance company to repay the huge debt borne by AIG.

  After three consecutive quarters of huge losses, AIG's stock price has fallen by more than 95% this year.

   On September 15, the day Lehman Brothers declared bankruptcy, AIG closed down 61% under the frenzied investor pressure, and the company's market value shrank severely. Soon after the stock market closed that day, the three major credit rating agencies unanimously announced the downgrade of AIG.

  In one day, AIG came to the brink of bankruptcy.

  On September 16, the Federal Reserve finally announced its rescue plan: AIG will provide emergency loans not exceeding US$85 billion from the US government for up to 24 months.

  In exchange, AIG must accept extremely high lending rates: add 850 basis points to the 3-month London Interbank Offered Rate (LIBOR) and cede up to 79.9% of the outstanding shares to the Federal Reserve.

  AIG has not much time left for Edward Lidi. He must sell the company’s assets as soon as possible to repay the government’s high-interest loans.

  Today he announced that he will decide which departments will be sold in a few weeks!

  Wang Guanxi is still looking forward to this. In the future, AIG Group will sell a lot of assets to repay government loans. It will not pay off all loans until 12 years and pay nearly 23 billion US dollars in interest. This is really a terrible figure.

  However, when Wang Guanxi was able to buy a lot of assets at a low price while AIG Group sold assets, it was exciting to think about it.

  【Citibank Group is considering acquiring Washington Mutual Bank】

  【U.S. credit crisis spreads to the currency market】

  PUTNAM Investment Company, a major US fund company, suddenly announced that due to increased redemption pressure from institutional investors, it has decided to liquidate a US$12 billion money market fund under its umbrella.

  The currency market is mostly used for short-term financing, and it is generally considered to have stable returns and low risks.

  Purchasing funds that invest in such markets is also considered a good alternative to saving. However, due to the current financial turmoil in the United States, investor confidence is unstable, and various assets have been realized one after another, and the currency market has also been affected.

  The liquidation of US$12 billion means a sell-off.

  Furthermore, on the 17th, investors in the U.S. currency fund market withdrew $89 billion in funds, and you can imagine how terrible this is.

  [The United States will provide US$2 trillion in support for money market funds]

  The U.S. Treasury Department and the Federal Reserve each announced new measures to provide support for the U.S. money market fund with a total value of approximately US$2 trillion.

   Wu Zhanhai couldn’t help but said: “Now the subprime mortgage crisis is spreading in the credit market and it is getting more and more serious.”

  However, global stock markets have skyrocketed today. Hong Kong stocks, Lushen and Shenzhen stock markets, Japanese benzene stocks, and European stock markets are all soaring.

  Obviously, the global central bank rescued the market, and the stock market was positive, which made investors and institutions crazy.

  Especially financial stocks, and banking stocks rose sharply.

  While the Black Shirt Insurance Company is also shorting 5 million shares of American International Group, the Black Shirt Investment Bank is shorting 120 million shares of Washington Mutual Bank.

  The U.S. stock market opens tonight, and it may take another surge.

  In addition, Citibank also claimed that it is considering harvesting Washington Mutual Bank. The current situation is not good for the Black Shirt Investment Bank.

  So everyone's topic came back to AIG Group and Washington Mutual Bank.

  AIG Group’s share price will inevitably soar tonight, there is no doubt.

  But the black shirt insurance company opened a position at US$388.00 per share, and did not panic at all. The AIG Group’s stock price could reach the sky at US$80.00 per share.

  But Washington Mutual Bank is different, because Citibank is considering acquiring Washington Mutual Bank!

  Li Guangyu said with some worry: “Will Washington Mutual Bank be bought by Citibank at a premium?”

  Black Shirt Investment Bank shorted 120 million shares of Washington Mutual Bank, with an average position of around 3.00.

  Tonight, Washington Mutual Bank’s stock price must have skyrocketed again. Maybe it rushed to US$3.00 per share. If it is acquired, will it be a premium acquisition?

  If it is really a premium acquisition, the Black Shirt Investment Bank may suffer a huge loss, or even liquidate its position!

  Wu Hongsheng also said: "This Citibank Group has not said that it is considering acquiring Washington Mutual Bank, but at this time, it is simply a bastard."

There are so many good news about the stock market now that the US government will increase the bailout, and financial stocks and banking stocks will soar. Citibank Group now says it is considering acquiring Washington Mutual Bank, which will inevitably make Washington Mutual Bank’s share price rush from $2.50 per share. It is definitely possible for a share of 3.00 dollars.

  Lu Jianyan also said: “When the Citibank Group releases this, the stock price of Washington Mutual Bank has skyrocketed, and it will definitely seduce Hong Tianwen, who has established a financial conglomerate, and Sundpur Batra of the Indian Industrial Trust and Investment Bank.”

  The Black Shirt Investment Bank asked the United Financial Group to borrow 120 million shares of Washington Mutual Bank to short Washington Mutual Bank, and the Indian Industrial Trust and Investment Bank to block the Black Shirt Investment Bank.

  This time, the stock price of Washington Mutual Bank has soared, and Citibank Group is considering acquiring Washington Mutual Bank. Does it really excite Hong Tianwen and Sundeep Batra?

  Guan Zhenyi said with some regrets: "Let Hong Tianwen and Sundeep Bartra have a fluke again. I think Citibank will not buy Washington Mutual Bank."

After all, Lehman Brothers had many buyers bidding before, but in the end it was nothing. Obviously this is also the case for Washington Mutual Bank. The final result must be the breakdown of negotiations. Then Washington Mutual Bank is the same as Lehman Brothers. Bankruptcy.

Lin Jiyang smirked: "I also think that's the case. Citibank Group is just thinking about it and didn't talk about acquisitions. If so many people enter the market to buy the bottom, then they say not to buy, then it will be fun. Hey before Lehman This is how the brother company plays"

Lehman Brothers was like this before. It was said that it was acquired many times, and many large organizations had come to buy Lehman Brothers, including Buffett’s Berkshire Hathaway, Korea Development Bank, Bank of America, and the United Kingdom. In the end, Barrac Bank and HSBC were all gone, negotiations broke down, and Lehman Brothers went bankrupt.

  Wang Guanxi smiled and said: "Don't worry, Hong Tianwen, Sundeep Batra will not be long."

  This Washington Mutual Bank must have gone bankrupt like Lehman Brothers. If you form a financial conglomerate, the Indian Industrial Trust and Investment Bank is destined to lose everything.

  However, the stock price of Washington Mutual Bank will definitely skyrocket tonight. It is possible that the Indian Industrial Trust and Investment Bank will take the opportunity to liquidate their positions. Of course, these greedy Indians will not close their positions, waiting for Washington Mutual Bank to be acquired at a premium.

  In order to paralyze these Indians, Wang Guanxi said: "After the U.S. stock market opened, you released the news, saying that our Black Shirt Investment Bank was afraid that Washington Mutual Bank would be acquired by Citibank at a premium and planned to liquidate its positions and faced huge losses!"

Of course, there is no need for the Blackshirt Investment Bank to do this, but the reason for doing so is to better paralyze the Indians and make these greedy Indians excited and excited, looking forward to the Blackshirt Investment Bank’s liquidation, and even more longing for the premium of Citibank Group. Acquire Washington Mutual Bank and make a lot of money.

  "Yes, BOSS" Wu Zhanhai and others immediately went to prepare.

  A time flies by.

  All kinds of good news have appeared.

  【The US government intends to purchase financial institutions for bad mortgage loans, which will spend 500 billion US dollars】

  【The U.S. government is deploying the largest rescue measures in history】

  In order to avoid the continued deterioration of the Wall Street financial crisis, the US government is deploying the largest rescue measures in history to deal with the non-performing assets of financial institutions. The plan involves a number of measures, including the establishment of an official trust agency to purchase bad mortgage loans from financial institutions. It is estimated that US$500 billion will be spent.

  In addition to dealing with bad debts, the U.S. Treasury Department announced that it will establish a temporary guarantee plan for a money market fund totaling approximately US$2 trillion. It will begin underwriting for the participating funds next year.

  National Broadcasting Corporation (CNBC): The largest part of the plan is that the government will issue bonds to purchase mortgages and related tools issued by Wall Street financial institutions to improve their balance sheets. This part of the plan needs to be approved by Congress, and the government will hold these mortgages until the expiry date.

  US Treasury Secretary Paulson: I am convinced that this bold method will cost Americans far less money than letting financial institutions fail one after another, the credit market is frozen, and it is unable to support economic development.

  United States Federal Reserve: It will expand the emergency loan program to subsidize commercial banks to purchase asset notes from money market funds to alleviate the problem of insufficient liquidity.

  ···

  Is this okay?

  The stock market opened, and the U.S. stock market skyrocketed across the board!

  The actions of the US government have effectively restored investors’ confidence in the market. Funds traveling abroad have returned to the stock market. The trading volume of the New York Stock Exchange has reached a record, more than twice the usual.

  In addition, the US government’s measures to resolve the banking crisis have also led investors to return to the futures market. New York crude oil futures prices rose by nearly $7 that day, reaching their highest level in a week.

  The three major stock indexes in New York skyrocketed for the second day in a row!

  The Dow Jones Index has soared nearly 1,000 points from the low of the previous trading day!

  As of the close, the Dow Jones Industrial Average rose by 368.75 points to close at 11,388.44 points, an increase of 3.35%. The Dow fell 0.3% this week.

  A total of 25 stocks out of the 30 Dow stocks rose. AIG rose 43.1%, rushing to $85 per share.

  It is reported that AIG major shareholders are seeking to repay loans from the federal government to prevent the government from controlling 80% of AIG's shares.

  Citigroup rose 24.0%, and Bank of America rose 22.6%.

  Washington Mutual Bank's stock price soared, from $2.5 per share to $3 per share.

   Goldman Sachs rose 20.2%, Morgan Stanley rose 20.7%.

  General Motors (GM) rose 31.7%, and the company’s GMAC unit also owns mortgage assets.

  The Standard & Poor's 500 stock index rose 48 points to close at 1,255 points, an increase of 4.03%.

  The two-day increase in the Standard & Poor's Index was the highest since the 1987 U.S. stock market crash.

The   Nasdaq Composite Index rose 74.80 points to close at 2273.90 points, an increase of 3.40%.

  The major European stock markets also rose on the same day.

  The average price index of 100 stocks in the “Financial Times” on the London stock market rose 8.84% to close at 5311.3 points.

  The Frankfurt Stock Market DAX index rose 5.56% to close at 6189.53 points.

  The CAC40 index of the Paris stock market rose 9.27% ​​to close at 4,324.87 points.

  ··

  Industrial Credit Investment Bank: The shorts are in panic buying, and they are willing to pay any price to cover.

  Imperial Bank of India: Just like children looking forward to Wii or Xbox gifts at Christmas, investors expect the government to rescue the market through a method similar to RTC (Aid Trust Company), and now their wish has come true.

  Sing Tao Daily: Blackshirt Investment Bank will face huge losses when shorting Washington Mutual Bank. If Washington Mutual Bank is acquired at a premium, it will lose all money. Now Blackshirt Investment Bank is planning to liquidate Washington Mutual Bank's short list.

  Black Shirt Investment Bank: If the details of the US government’s rescue plan are announced over the weekend, the stock market may fall on Monday morning

  At the moment, Sundeep Bhatra saw the Sing Tao Daily report on the Black Shirt Investment Bank, and was immediately excited.

   "Haha, the stock price of Washington Mutual Bank has soared, and it will be acquired at a premium. These Huaxia people are dead!"

   "I'm paralyzed, this time I will finally crush these Chinese scum!"

The U.S. stock market skyrocketed today, and the stock price of Washington Mutual Bank rushed to $3.00 per share. The Indian Industrial Trust and Investment Bank had previously fought against the Black Shirt Investment Bank and sold 120 million shares of Washington Mutual Bank. Now there is no loss in the account. From floating loss to floating profit.

  In the future, the stock price of Washington Mutual Bank may rise to $4 per share, and then it will be acquired by Citibank or Morgan Bank at a premium.

  The price of this premium purchase may be 8 US dollars per share, or even 10 US dollars per share.

  At that time, the Indian Industrial Trust and Investment Bank will make a steady profit of more than US$600 million!

   "Haha, these Chinese people are dead!"

   "Sad pen things, play with me, do you match them too?"

   Now Sundeep Batra is very proud of himself.

  Although the Indian Industrial Trust and Investment Bank made a huge loss on the AIG Group, it skyrocketed on the Washington Mutual Bank, crushing those Chinese people!

  After the black shirt investment bank bursts out, he may still have a chance to acquire it!

  Indian Private Pension’s Nehru was also very excited: “This time, these Chinese people were completely blown up. They are destined to lose their money on the Washington Mutual Bank. Hehe, this time I finally relieved my hatred.”

  The U.S. stock market skyrocketed tonight, but the AIG Group’s stock price did not rush to $100 per share, but only rushed to $84 per share, but it also made him happy. After all, some losses were reduced.

  And these black shirt investment banks shorted Washington Mutual Bank, they have been trapped, want to run, ha ha no way!

  In particular, the Sing Tao Daily reported that the Black Shirt Investment Bank was planning to liquidate its short positions in Washington Mutual Bank. It was so good, it was great, and it made him excited.

Ratan Tata of the Tata Consortium also said with excitement: "These Chinese people are a group of greedy pigs. Now the Black Shirt Investment Bank must have lost money on the books. They are even more afraid that Washington Mutual Bank will be acquired at a premium, so I am anxious. Clearance!"

  It’s so refreshing tonight. The stock prices of Washington Mutual Bank and AIG Group have skyrocketed, and he wants to wait for the Black Shirt Investment Bank to blow up.

   "Hey, the share price of AIG Group has soared a lot this time, we still have hope"

   AIG Group’s share price also rose a lot tonight, rushing to 84 US dollars per share, while the Tata Consortium holds 6.5 million shares, with a position of 380.0 US dollars per share. He hopes that AIG Group’s share price can continue to rise and reduce losses.

  Sundep Batra smiled and said: "Next week we will wait to see the black shirt investment bank blow up!"

  In fact, the three of them didn’t even know the negative report on the Black Shirt Investment Bank by the Sing Tao Daily. It was originally sent by the Black Shirt Investment Bank to paralyze the three of them.

  ··

At this moment, Hong Tianwen is very excited to form a financial conglomerate. The Washington Mutual Bank’s stock price has rushed to $3 per share, and it will rush to $4 per share in the future, and then he will be able to make a lot of money if he is acquired at a premium of 200%. Earn at least US$300 million to US$400 million, or even US$600 million!

  A good financial group will be reborn at that time!

  Thinking of Hong Tianwen here is also full of hope!

   "Black Shirt Investment Bank, ha ha, the position has exploded!"

"Rubbish!"

  The 120 million shares that the Black Shirt Investment Bank shorted Washington Mutual Bank this time were borrowed by Ask Hao Financial Group. After the Black Shirt Investment Bank liquidated its position, it would be cool.

  Thinking of the previous failures in the Hong Kong stock market, the stock prices of listed companies such as Bond Financial Group, Aeon Credit Co., Taifook Securities Co., and the Luo family plummeted to a miserable position. He resented because their losses were very, very miserable.

  Even the global central bank rescued the market, but their company's stock price did not rise much, because these rescue funds, the bottom-hunting funds were all buying the stocks of those big companies!

  However, he didn’t panic anymore. After making money at Washington Mutual Bank this time, he asked Get Good Financial Group to completely acquire Taifook Securities Company, as well as the Black Shirt Investment Bank!

   "Haha! Hong Tianwen if the sky is not dead!"

   Then he jumped up excitedly, took a champagne to drink, and swayed slowly to the music.

  At this moment, in Suite 666 of the Empire Hotel, it is September 20th, early Saturday morning.

  Wang Guanxi watched the U.S. stock market soaring, a little excited.

   "Asian stock markets also skyrocketed on Monday!"

  "The Hang Seng Index can rise at least 500 points or more"

  "Next Monday, close your position and go short at a high position!"

  Now Wang Guanxi No. 1 Fund still holds a long list of 50,000 lots of Hang Seng Index, and the position of opening a position is at 16,320.

One point of volatility is a profit and loss of 2.5 million Hong Kong dollars. The Hang Seng Index closed at 19,400 yesterday afternoon. The net value in his account was about 14 billion Hong Kong dollars.

  Waiting for the Hang Seng Index to continue to soar next Monday.

  (End of this chapter)