The Son of Finance of the Great Age

  Chapter 656 Billion Dollar Sell Order

  The weekend passed between Stanley and Huatou, both of them knew very well that the other was their only choice. But the difference is that Stanley is waiting to evaluate the pros and cons of transforming into a bank holding company, while Huatou is waiting for Stanley to give up completely. There will be others interested in Stanley.

   One looks like a drowning person, looking for life-saving straws everywhere; while the other is holding a lifebuoy, standing on the shore and watching coldly. Neither side was eager to reach an agreement until the last minute, so the deal was dragged into the next week.

  As soon as the market opened on Monday, something happened to Stanley's stock!

   "John, I heard that you are negotiating with the Chinese?" At ten o'clock in the morning, John Mark received a call from Soros, who had been secretly shorting Stanley's hedge fund. Of course, Soros didn't know that John Mark already knew that he was secretly shorting Stanley, "How about it, are the Chinese planning to help you? They are sovereign funds, don't miss this opportunity!" He was hypocritical persuaded.

"George, this is our company's top secret. I'm sorry I can't tell you the progress." John Mark said lightly, "But you are not an outsider. I can tell you that Chinese people are very interested in us. I believe that as long as the details We’ve settled down and we’ll be able to reach an agreement soon.”

"Really? Congratulations to you!" Soros said insincerely, "In order to avoid suspicion, I will not buy your stocks. You must know that this may involve insider trading. Haha, just kidding, congratulations on your smooth transition." Get past this."

"Thank you!" John Mark said perfunctorily, "But George, I advise you not to go short on Goodman's stock, you must know that their strength is a little stronger than ours. Although they are also in trouble now, but I have never heard of a sovereign fund being interested in them!"

   Just in his heart, John Mark secretly cursed "Old Fox". He naturally heard Soros' implication, "not buying their stocks", does not mean not selling their stocks.

   "Of course I know this measure. Don't worry, I'm not a troublemaker." Soros laughed and hung up the phone, but he cursed "old fox" in his heart. Naturally, he heard clearly that John Mark was planning to bring disaster to the east and burn the flames of war on Goodman Company.

   Like Stanley, Goodman is currently in big trouble of outflow of funds. Unlike Stanley Corporation, Goodman Corporation's capital flight speed is not as serious as imagined, but the disadvantage is that no institution has expressed interest in Goodman Corporation, and the two offset each other. At present, Goodman Corporation Still struggling, but far better than Stanley.

  If you increase your efforts and continue to short them, it might be a better investment choice.

  But Soros does not intend to intensify his short-selling of Goodman, because he still has a trump card for Stanley.

After hanging up John Mark's phone, Soros made another call non-stop, "Hi, hello, is this the office of Congressman Rogers? I'm George Soros, and I have an appointment with Mr. Congressman this morning. See you at eleven o'clock."

"Oh, hello, please wait a moment, I will check Mr. Congressman's itinerary." The secretary who answered the phone said quickly, half a minute later, the voice came back from the microphone, "Yes, Mr. Soros, Mr. Congressman's speech is over I will go to the Waldorf Astoria Hotel later, please wait there. Mr. Congressman also invited you to have lunch, I hope you will not refuse."

   "Of course, this is my honor!" Soros had a smug smile on his face, knowing that he had succeeded.

  Ham Rogers, a senior Republican congressman, is from Texas. In this conservative state that leans toward the Republican Party, he has unparalleled reputation and prestige. At the same time, within the Republican Party, he is also one of the few bigwigs who keep their promises. If there are so few people in this world who can change the decision of the current President of the United States, Ham Rogers is one of them, and he is one of the very high-ranked ones.

  Politically, this congressman is quite conservative. Perhaps because he is from Texas, the congressman is extreme, even to the point of obstinacy, on issues like abortion, immigration, and people of color. Naturally, this congressman, who has always regarded himself as a defender of American orthodox values, will not have a good impression of a country like China.

  Soros came to him with the purpose of using the influence of this congressman to obstruct the transaction of Huatou's acquisition of Stanley Company, or even directly veto the transaction. Only in this way can Soros get the maximum benefit from shorting Stanley.

  He has already calculated that if Congressman Rogers can only let this deal fall through, basically there is not much time left for Stanley, and they will face the same ending as Raymond Brothers, that is, bankruptcy.

  A super company with total assets of more than 700 billion U.S. dollars and liquid assets once as high as 200 billion U.S. dollars is only a few weeks away from bankruptcy. It has to be said that the sentiment in the market has reached an unfathomable level, but this is not the lowest point yet.

   As for persuading Congressman Rogers, Soros was full of confidence.

  …

   At one o'clock in the afternoon, the market continued to trade, and Stanley's stock fluctuated around $85, and there was no big market trend for the time being. Although the market is very clear that Stanley has been in trouble recently, the stock of Stanley is temporarily stable because of the US government's rescue plan and the news that Huaxia is in contact with Stanley.

  The market is watching.

   In the midst of the mediocrity, sudden changes arose. Suddenly, in the sell column of Stanley stock, a sell order with a quantity of 11045 lots appeared at a price of 84.50 US dollars.

   Almost instantly, the buy order column was wiped out, and Stanley's stock price fell to this $84.50.

   But the market was still stunned. The next moment, at $83.5, there was another sell order of 10,000 lots, which also wiped out the buy order at this position in an instant, and Stanley's stock price continued to decline.

Just when the price was refreshed, the most shocking scene happened. A sell order of up to 50,000 lots appeared at the position of $80. was swept away again. This time, Stanley's stock price fell directly from $83.5 to $80.

  The above three transactions took place within half a minute, which was too fast for most traders in the market to react, and the stock price has fallen to a jaw-dropping level. When the traders reacted, their first reaction was not to take advantage of the low price of Stanley's stock, but to ask everywhere what happened to Stanley.

  This kind of thing happens in an instant, they think there must be a reason, it is event-driven.

  As they wished, news from Stanley Company soon spread in the market, and it was not one piece of news, but several unconfirmed pieces of news. Some said that the negotiations between Stanley and Huatou broke down, and that Stanley was on the verge of bankruptcy. Some said that Stanley’s funds had been siphoned off, basically no cash flow, and that it would declare bankruptcy tomorrow. Others said that Stanley The company and Huatou will reach an agreement soon, even if it becomes red capital.

It's funny that in a market that advocates value investing, often when violent market conditions occur, traders are not looking for models, but news flying all over the sky. This has to be said to be a great irony .

Soon the mood of the entire market was mobilized. In this case, what traders thought was not to verify the authenticity of the news, but to frantically dump Stanley's stocks in their hands, because no matter whether it is true or not, Stanley It is an indisputable fact that the stock price of the company has fallen, and we must take advantage of this moment to run away.

   Chasing ups and downs, even among professional traders.

  Stanley’s stock began to fall wildly, and it didn’t take long before it fell below the $80 mark, and then fell below the 79, 78, and 77 levels in succession.

   And at $75, some hedge funds set a huge number of stop loss orders. When the price was triggered, the stock price of the entire Stanley Company became almost unstoppable like a torrent and tsunami. The liquidation order given by the program quickly knocked down the immediate price, and the price drop triggered more liquidation orders, which exacerbated the further decline in the price.

  The situation suddenly became out of hand.

   $70, $60, $50…

  Stanley's stock price is no longer a one-dollar beating, but a drop of five dollars or even ten dollars every time it jumps, which has stunned the traders in the audience. In addition to being shocked, these traders smashed orders like crazy, hoping that they could escape.

   This is like being in a secret room, full of people, but there is only one exit that only accommodates one person to escape. When there was panic in the secret room, some people began to flee through the door, but the door could only accommodate one person. When the two appeared at the door at the same time, they were stuck. And when more people showed up at the door, none of them escaped, despite everyone's dismay.

  All they can do is keep running away, but to no avail.

  No one knows where the bottom is, and no one wants to buy the bottom, because the amount sold is like a snowball, getting bigger and bigger. In this case, I am afraid that no one institution can take it alone. In fact, some institutions also planned to take the opportunity to buy bottoms, but in the wave of selling, they were easily crushed like praying man's arms blocking a car. Worse than stones falling into the water, their actions didn't even cause a wave.

  Finally, the plummeting Stanley stock price reached the $40 mark.

   So far, Stanley's stock price has fallen by more than 50%, from $85 to $40, a full drop of $45. And if $40 also falls, it might fall to $10 today.

   But this extreme situation did not appear after all. Just when the price of 40 US dollars just appeared in people's sight, some traders were surprised to find that there were 2.5 million lots piled up around 40 US dollars. In other words, $100 million is waiting here.

  The seller is aggressive and comes with all the momentum of the audience. The side that rescued the city has gathered thousands of troops and is ready to fight here. The torrents of the two sides did not test at all, and they crashed together almost in the blink of an eye.

   "2.5 million hands, 1.4 million hands, 400,000 hands." With the roar of the traders, the buying party was within three beats, and the number of hands was consumed. But soon, a surprising scene happened. In the next moment, the buyer made another 5 million hands, re-stabilizing the defense.

   Another big bill of 200 million US dollars!

The traders were already numb, but the seller's offensive was still not contained. One minute later, a full 5.4 million lots of buy orders were consumed again. With the last buy order being bought, Stanley's stock price It also dropped to $39.99 in an instant.

But a scene that shocked the traders' nerves happened again. Stanley's stock price only maintained at $39.99 for a second, and then jumped to $40 again. Huge bill.

  Super bill of 600 million US dollars!

  When this buy order appeared, it was like pouring a basin of cold water on the boiling seller's head, which woke most traders up. Most of them began to reflect on whether they were affected by emotions. And those who reacted faster began to grab the bottom.

  Affected by this huge buy order, although the main selling force is still aggressive, they can no longer shake such a huge amount of funds. They began to realize the determination and strength of the bulls. However, the sentiment of the market reversed, and Stanley's stock price began another wave of rapid rise.

  The market fluctuates greatly, just like life, unpredictable.

   By the end of the day, Stanley's stock fluctuated more than 100% all day, and finally fell by a small margin of 2.3%. After the market closed, according to statistics by traders, the amount of funds needed to stop the decline was at least around US$1.5 billion. And the capital leading the first wave of decline has reached at least 1 billion US dollars.

  The transaction volume of the whole day reached an astonishing $4.5 billion. If calculated by this figure, it accounts for 10% of Stanley's market value. Afterwards, more rumors arose around the abnormal fluctuations in Stanley's stock. But no one knew that this was a huge short-selling led by Soros' Quantum Fund, with a total value of 1 billion US dollars.

  Even Soros himself doesn't know anything about the main force to protect the plate. It wasn't until something happened later that he knew what the whole thing was all about. At that time, he had already lost a lot of money shorting Stanley's stock.

   Thanks to book friends Xiao Qi, Civilization Miracle, duyu, and cpower for voting monthly! Thanks to the book friends who said he was not crazy for the reward! At the beginning of the new month, I have received so many monthly tickets and rewards. This is the first time in two years. I hope that a good start will lead to a good process and good results. I hope more book friends can support this book , the author continues to work hard~

  (end of this chapter)