In Hong Kong, we build a global business empire
Chapter 916 Soros: I admit I lost!
Just as Lin Haoran had expected, the news spread like wildfire across the globe shortly after his press conference in Hong Kong, thanks to various modern technologies.
Half a day later, investors around the world who were paying attention to the Mexican debt crisis had also received the news.
In addition, the Mexican government suddenly announced at this time that it had officially received emergency loan assistance from the International Monetary Fund, totaling three billion US dollars.
Three billion US dollars may not have a significant impact on the Mexican government, but it can certainly boost investor confidence in Mexico.
This news was like a bombshell, sending shockwaves through global financial markets.
The Mexican peso, which had already begun to recover due to Lin Haoran's press conference, surged even further after hearing the news, as if it had been injected with adrenaline.
Within just one hour, the Mexican peso rebounded by more than 10% against the US dollar.
Those investors who were previously observing could no longer hold back and rushed in to buy at the bottom.
This also accelerated the countdown to the Quantum Foundation's demise.
Meanwhile, those speculators who had followed Soros in shorting Mexico were now wailing in despair.
Some people suffered margin calls, some jumped off buildings, and some frantically made phone calls to deposit more margin.
But it was all too late.
The market trend has completely reversed.
In the headquarters office of the Quantum Fund, Soros sat blankly in his chair.
In front of him, a color television was broadcasting the news.
The television in front of me was broadcasting a press conference by the Mexican government.
Finance Minister Salinas, with a smile on his face, announced a loan agreement with the International Monetary Fund and expressed his confidence in the Mexican economy.
Three billion US dollars.
While this money is not enough to completely solve Mexico's debt problem, it is enough to help the Mexican government get through some time.
More importantly, the announcement of this loan sent a clear signal to the market that the international community would not stand idly by and watch Mexico collapse.
In addition, the information recently released by Lin Haoran himself has allowed market confidence to recover at a visible speed.
Quantum Fund reacted extremely quickly, but even that was too late.
The market reversal happened much faster than anyone expected.
In just one hour, the Mexican peso rebounded by more than 10%.
In just two hours, the Mexican peso rebounded by more than 15%.
What does this mean for Soros's multi-billion dollar, triple-leveraged position?
This means a loss of hundreds of millions of dollars.
And this is just the beginning.
As more investors enter the market to buy on dips and market confidence further recovers, the peso will continue to rebound.
20%, 25%, 30%...
For every percentage point rebound, Soros's losses increase by tens of millions of dollars.
His position is evaporating at a visible rate.
After broadcasting the Mexican government's press conference, the television station seemed to deliberately switch to broadcasting Lin Haoran's press conference in Hong Kong.
On the television, Lin Haoran sat on the head table in the banquet hall and said decisively, "I want to say one thing to Mr. Soros: You can short the market, but you can't short people's hearts; you can manipulate public opinion, but you can't manipulate justice; what you have done today will be remembered by history and despised by the world."
Lin Haoran's voice was powerful and resonant, each word like a heavy hammer blow to Soros's heart.
In the video, after Lin Haoran finished speaking, thunderous applause erupted from the audience, and reporters frantically pressed their shutters, illuminating the entire banquet hall as if it were daytime.
Soros stared blankly at the screen, his expression indescribably complex.
There was anger, resentment, despair, and a touch of indescribable admiration.
He has dominated Wall Street for thirty years, encountering countless opponents and defeating countless enemies.
But no one has ever pushed him to such a desperate situation as Lin Haoran.
More importantly, Lin Haoran acted within the rules from beginning to end.
He did not manipulate public opinion, spread rumors, or violate laws and regulations.
He simply presented evidence, told the truth, and then expressed his stance with real money.
This fair and square victory left Soros with no room for excuses.
Soros knew that this time, he might really be defeated by this young man from the East.
Quantum Fund will almost certainly go bankrupt this time.
He wanted to save them, but how could he?
He really couldn't think of any other solution.
In the end, I was too hasty.
In his view, if Lin Haoran hadn't been dragged into this, the Mexican government wouldn't have been able to hold out for much longer.
But because he wanted Mexico's debt to collapse faster and more completely, he wanted to use Lin Haoran's influence and reputation in Mexico to accelerate market panic and maximize his short-selling profits.
This was originally a brilliant move.
Using an influential public figure to guide market sentiment through public opinion is a tried-and-true method in the financial markets.
Soros has done this countless times, and each time he manages to escape unscathed and make a fortune.
But to his utter surprise, this time he ran into a brick wall.
Lin Haoran is not one of those small-country politicians who can be easily manipulated, nor is he one of those ordinary businessmen who can only swallow their anger and suffer in silence.
He is the helmsman of a business empire with assets worth tens of billions, spanning multiple industries, and wielding considerable influence in the Hong Kong and even global business world.
More importantly, he has evidence.
Those transfer records, that recording—each one of them was enough to ruin Soros's reputation.
Soros suddenly remembered what Lin Haoran said at the press conference: "Provoking me, Lin Haoran, will come at a price."
Yes, at this moment, he has truly understood it.
Soros's hands were trembling; he had ultimately underestimated this young man of Chinese descent.
The office was deathly silent.
Only the television was still playing footage of Lin Haoran's press conference on a loop—the applause, the flashing lights, the reporters' frenzied expressions—every shot was like a knife, stabbing deeply into Soros's heart.
What should I do? What should I do? What should I do?
Soros's mind went blank.
He had been a prominent figure on Wall Street for two or three decades, experiencing countless ups and downs, but never before had he felt so desperate.
When he shorted the pound in the past, the Bank of England did retaliate, but that was a fair market battle.
He won, and he won fair and square.
We lost, but we accepted it wholeheartedly.
But this time is different.
This time, he used underhanded methods.
He bribed the media, spread rumors, and manipulated public opinion in an attempt to drag Lin Haoran down with him.
He thought this would accelerate the collapse of the Mexican market and allow him to earn more money.
The results of it?
As a result, he drove himself into a dead end.
He lost.
They lost completely and were utterly powerless to fight back.
The office door was pushed open.
Mark stood in the doorway, his face ashen.
He held a stack of fax papers in his hand, his fingers trembling slightly.
"Mr. Chairman..."
Soros didn't turn around, but simply asked, "What now?"
Mark swallowed hard and began with difficulty, “Those Middle Eastern tycoons, they just sent representatives here. They said that, given the current situation, they demand the immediate withdrawal of their principal.”
If the funds don't arrive by today, they will apply to the court to freeze our assets.
Soros closed his eyes.
He had expected this to happen.
Those Middle Eastern tycoons were never long-term partners.
They are merely profit-driven capitalists; once they sense the tide is turning against them, they'll flee faster than anyone else.
The money arrived today? He's barely able to take care of himself!
“And…” Mark’s voice trembled even more, “those brokers also sent notices demanding that we add margin before the market opens tomorrow. If the funds are not in place, they will forcibly liquidate our positions.”
Forced liquidation.
These four words were like a heavy punch to Soros's chest.
For anyone in finance, the words "forced liquidation" are the most terrifying nightmare.
This means that Soros has lost control of his own destiny.
This means that those brokers who were once extremely respectful to Soros are now going to take away his last remaining chips.
This means that Quantum Fund's billions of dollars in positions will be forced to be sold, further exacerbating Quantum Fund's losses.
This means that Quantum Fund is completely finished.
Soros's hands trembled even more violently.
He opened his mouth, as if to say something, but nothing came out.
Thirty years have passed.
He spent thirty years climbing the ranks on Wall Street, rising from obscurity to where he is today. He attacked the British pound, defeated the Bank of England, and instilled fear in many countries.
He thought he would always be the winner.
He thought Lin Haoran was just a lucky young man from the East who could be easily manipulated.
He was wrong.
That's completely wrong.
Mark's voice trembled as he said, "Mr. Chairman, what should we do? We can't pay back the money from those Middle Eastern tycoons, and we can't pay the margin to those brokers."
They will force us to liquidate our positions as soon as the market opens tomorrow, and then we'll be completely finished!
In addition, a lot of reporters came downstairs, and the building management could hardly stop them. They wanted to interview you, to know the next steps of the Quantum Fund, and to know if you would resign or go bankrupt...
Mark's voice grew softer and softer until it was almost a murmur.
Because he saw that Soros's face was as pale as a sheet of paper.
Soros stood up, walked to the window, and slightly opened a corner of the blinds.
Downstairs, a dense crowd completely blocked the building entrance.
Cameras, flashes, long lenses and short lenses, and the excited faces of the reporters—even from dozens of floors away, he could feel their bloodthirsty fervor.
They're not here for an interview.
They came to see him make a fool of himself.
I'm here to witness how a financial tycoon fell from grace.
We're here to find the most sensational material for tomorrow's headlines.
Soros released his grip, and the blinds slammed shut with a whoosh.
He turned around and looked at Mark.
His subordinate, who had followed him for ten years, now had fear and despair written all over his face.
Soros sighed. What must be faced will eventually have to be faced; there is no point in delaying it.
"Mark, go and make the arrangements. Tell them that Quantum Fund will be holding a press conference in half an hour!"
Mark was stunned, his face filled with disbelief.
"Mr. Chairman? Are you sure? Those reporters downstairs aren't here to hear good news."
Soros gave a wry smile and said, "I know, but you can't hide forever. Rather than let them speculate and spread rumors outside, I'd rather stand up myself and make things clear."
He was perfectly aware that Quantum Fund was beyond saving.
Unless, some miracle occurs.
But he never believed in miracles.
Mark opened his mouth as if to say something, but in the end he nodded and said, "Okay, I'll go arrange it right away."
He turned and left, leaving Soros standing alone by the window.
Soros pulled back a corner of the blinds and looked down at the dense crowd of reporters below.
He has been working in this building for over a decade, and he has stood at the top of the building countless times to overlook the city, but he has never felt so lonely and helpless as he does today.
He took a deep breath, walked to the mirror, straightened his suit, and fastened his tie.
Even if you have to fall, fall with dignity.
This is the rule of Wall Street, and it was his last vestige of dignity.
Half an hour later, the makeshift press conference venue in the lobby of the building where Quantum Fund is located was already packed with reporters.
Long lenses, flashlights, recording pens, and countless excited eyes were all focused on the protagonist who was about to emerge.
When Soros stepped out of the elevator, all eyes immediately turned to him.
He was wearing a dark gray suit and a navy blue tie, and his hair was neatly combed.
If it weren't for his pale, almost transparent face, you would hardly guess that he was a man on the verge of bankruptcy.
The sound of camera shutters was like a torrential downpour, and the flashes illuminated the entire lobby as bright as day.
Soros did not stop and walked straight to the makeshift stage.
He stood in front of the microphone, his gaze sweeping over the excited faces in the audience.
The reporters craned their necks, like sharks smelling blood.
Soros took a deep breath and spoke slowly.
"Dear journalists, thank you for taking time out of your busy schedules to come here."
His voice was hoarse and calm, without the expected trembling or desperate screams.
The audience fell silent instantly, everyone holding their breath, waiting for his first words.
"I know what you want to ask. So, I'll answer you directly."
Soros paused, his gaze becoming even more profound.
"Quantum Fund's positions in the Mexican market have suffered significant losses. The exact figures are still being calculated, but it is certain that we will not be able to meet the margin call requirements."
Our broker will forcibly liquidate our positions after the market opens tomorrow.
A gasp of surprise erupted from the audience.
Reporters frantically took notes, their flashes illuminating the entire lobby as if it were daytime.
Soros didn't stop, continuing, "As for the accusations that I bribed the media and manipulated public opinion, I..."
He paused, his voice becoming even lower.
"I admit it."
The audience erupted in uproar once again.
The reporters looked at each other in disbelief.
George Soros, the financial tycoon who dominated Wall Street for thirty years and the speculator who once struck fear into the hearts of countless countries, actually admitted his crimes in public.
Soros looked at the shocked faces and a bitter smile appeared on his lips.
Thirty years of reputation were completely destroyed in this moment.
But he did not regret it.
Because regret is useless.
“I admit that I bribed the media to spread rumors about Mr. Lin Haoran. I admit that I wanted to drag him down and use his influence to accelerate the panic in the Mexican market.”
I admit defeat.
His voice grew louder and louder until it was almost a shout.
“But I, George Soros, have never been a sore loser. Today, I have lost. I have lost to Lin Haoran, to the truth, to justice. I concede defeat.”
After he finished speaking, he bowed deeply.
Then, he turned and left.
Behind me, the flashes continued to go off wildly, and the sound of camera shutters clicking incessantly.
Reporters jostled and pushed forward, eager to ask a few more questions.
But Soros did not turn back.
He stepped into the elevator and pressed the close button.
The elevator doors slowly closed, shutting out the noise from outside.
Soros leaned against the elevator wall and closed his eyes.
He knew that from this moment on, his name would forever be associated with "failure" and "shame".
But he had no choice; what he had to face, he had to face.
Soros didn't think he had done anything wrong; he just felt he had lost.
If he felt he had done anything wrong, it was definitely that he shouldn't have provoked Lin Haoran.
If he hadn't provoked Lin Haoran, he wouldn't have lost at all; he just might not have earned much, because he didn't know when the debt crisis would truly occur.
Mexico's debt crisis is real, and the depreciation of the peso is inevitable.
He could have easily made a fortune and then walked away unscathed.
But he became greedy.
He wanted more, he wanted faster, and he wanted to get the biggest benefit with the least cost.
So he set his sights on Lin Haoran, that influential wealthy businessman from the East.
As long as Lin Haoran is dragged into this mess, and as long as the market believes that Lin Haoran is also shorting Mexico, the panic will intensify, the peso will collapse even faster, and his profits will be even greater.
What a perfect plan.
Unfortunately, he chose the wrong opponent and underestimated him.
Now, it's all over.
Perhaps, before long, Quantum Fund will also disappear completely from Wall Street, from the global financial landscape, and completely exit the stage of history.
This also means that his life's work, the financial empire he was so proud of, will be dismantled, sold off, and wiped out bit by bit by those brokers after the market opens tomorrow.
He, on the other hand, will be burdened with huge debts, face lawsuits from countless investors, and may even be investigated and prosecuted by regulatory authorities.
The money of those Middle Eastern tycoons, the money of those European bankers, and the money of those investors who trusted him and entrusted their funds to him for management will all vanish.
George Soros will fall from his pedestal on Wall Street into an abyss, with little chance of ever recovering.
All of this stemmed from the fact that he had provoked the wrong person. (End of Chapter)
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