I am farming in the real world.

Chapter 159: Use unconventional tactics to deal with robbers (Subscription required)
"what?"

"Crude Oil Treasure?!"

As soon as Zheng Yinhua heard this term, his face turned strange.

Because the three words "Crude Oil Treasure" are like a pillar of shame standing above the head of Bank of China Futures!
On April 2020, 4, affected by the sharp drop in the May contract of U.S. WIT crude oil futures to negative numbers, the "Crude Oil Treasure" product under BOC Futures suffered a huge loss of more than 20 billion yuan, causing more than 5 customers who bought Crude Oil Treasure to go long to have their positions liquidated overnight, and even the ridiculous thing of owing BOC the principal occurred.

The incident was widely reported by the media and caused a great response on the Internet.

Later, after professionals dug up information, people discovered that the loss of up to 300 billion was not a natural disaster, but a man-made disaster that could have been avoided.

Because according to the contract rules of "Crude Oil Treasure", at 4:20 on April 22, Bank of China Futures was originally going to start the operation of shifting positions and changing anchors across the next month.

But that night, the operator in charge of this matter at Bank of China Futures was so bewitched that he forgot to move his position and change the anchor.

As a result, the Chicago Board of Trade seized on a loophole in its trading rules and immediately cut off the Internet connection, driving the settlement price of May WIT crude oil futures to -5 US dollars per barrel, forcibly closing the funds in Bank of China Futures' "Crude Oil Treasure".

You read that right!
That is, a barrel of crude oil was sold at a negative price.

In theory, if you go to the seller's Chicago Exchange to buy a barrel of spot crude oil, you don't have to spend a penny on the oil, and the other party will give you $37.63.

But the problem is that the capital pool of Crude Oil Treasure has been forcibly closed by the Chicago Exchange, and the futures contract has been invalidated.

This theoretical situation of "buying oil at a loss" did not happen, and the losses caused by the short positions were all borne by the more than 6 customers of Bank of China Futures.

As a result, customers will naturally be unwilling to do the job.

I came to your Bank of China Futures to invest in crude oil futures, intending to make some extra income to supplement my family income and beat inflation. However, not only did I lose all my principal, I even owe Bank of China a large sum of money. What the hell is going on?

This is not just cutting the leeks with a sickle, it's pulling all the leek roots up at once!
So both sides started to pursue legal action, and it took several years of litigation to finally calm down the farce.

As a result, Bank of China Futures lost all face. All the leaders and investment managers in charge of crude oil futures were fired and were criticized by the village chief.

Zheng Yinhua was also appointed to the position of vice president in charge of Bank of China Futures after the crude oil treasure incident.

As for the Chicago Stock Exchange, the initiator of "Crude Oil Treasure", in the end nothing happened to it.

After reaping more than 300 billion yuan of funds from domestic investors in Crude Oil Treasure, they issued a shameless announcement like "Who told you not to adjust your positions and change your anchor?" and then walked away.

It is almost a humiliating output that is right in the face of Bank of China Futures.

So when Chen Jue mentioned Crude Oil Treasure and planned to help Bank of China Futures get back its position from the Chicago Stock Exchange.

Zheng Yinhua's left eyelid twitched violently!
The saying goes, "left eye twitching means wealth, right eye twitching means disaster."

Looking at Chen Jue's mysterious smile, Zheng Yinhua felt that if this could be accomplished, he would not only become famous in the entire international futures market.

It can also help BOC Futures wash away the shame of its past "Crude Oil Treasure".

No senior executive of a state-owned enterprise can sit still when faced with such tremendous achievements and credit.

So he looked up and scanned the area around him. After making sure there was no third person, Zheng Yinhua lowered his voice and asked, "Mr. Chen, do you mean that we, the Bank of China Futures Department, should cooperate with you to enter the market with 50 billion yuan of funds and cut the Chicago Stock Exchange in the US soybean futures market?" Chen Jue smiled mysteriously, "That's about it! But this plan is a bit big. I have to go back and plan it out carefully to see how to play it out appropriately at that time."

Seeing Chen Jue's serious look, Zheng Yinhua began to be a little suspicious: "Mr. Chen, the total capital of U.S. soybean futures is nearly 3500 billion US dollars! Although your capital is large, it is not so sure to use it to leverage the entire U.S. soybean market. Even with the cooperation of our Bank of China, there is hope to bring about small fluctuations in the market in the short term, but the sudden rise and fall..."

"Who told you I was going to use serious hedging methods?"

Chen Jue rolled his eyes and immediately gave the Vice President of Bank of China a 'you know' expression.

After all, American capital groups have done many things like pulling the plug on the Internet and refusing to admit their mistakes in order to make money from investors.

Shutting down the crude oil treasure is considered a light punishment!

Like the closure of Silicon Valley Bank and the disclosure of the loss of bank storage data.

In short, they used unplugging network cables and other tricks together, one after another, specifically targeting Chinese investors.

After trying all these old tricks, if they don’t work anymore, they will resort to sanctions, freezing accounts, or outright robbing.

Take Zhao, the founder of Binance, for example. This guy was arrested by the Americans for almost a year. He just walked out of the court and was locked up again.

After repeating this operation, tens of billions of U.S. dollars worth of Bitcoin were taken from Lao Zhao three times in a row, and only then was there hope of releasing him.

To deal with such an unreasonable opponent who likes to use tricks, it is definitely not enough to use formal means. You must "fight tooth for tooth and eye for eye".

"If we don't use futures funds for hedging, then what should we use? Wait... Since Mr. Chen and Mr. Xiang are from the same hometown, is he planning to learn from Tsingshan Holdings' previous nickel market battle and use spot delivery to force the U.S. soybean margin call?" Zheng Yinhua seemed to remember something and his face suddenly became confused.

Because he couldn't imagine any grain trader in the world having more soybean inventory than in the Chicago Board of Trade futures market.

That’s a full 5000 million tons of soybeans!
This is 1 times higher than the country’s annual soybean production capacity!
Looking around the world, only South America with a total soybean production capacity of 2.2 million tons is qualified to compete with U.S. soybeans.

"Ruzi can be taught!"

Seeing that the other party seemed to have understood what he meant, Chen Jue stopped talking here and did not reveal any more specific implementation details.

If he wanted to set up a plan to really boost the price of U.S. soybeans, the power barriers that he needed to break through were not just those on the Bank of China Futures side, but also several domestic grain and oil giants, such as COFCO and China National Grain and Oils Reserves Corporation. Chen Jue had to find a way to visit them one by one.

In this situation, the fewer people who know his plan and the later they know, the better.

So before leaving BOC Futures, in order to boost the other party's confidence, Chen Jue slipped a business card to President Zheng and asked him to pay attention to the capital injection into his futures account.

Once the subsequent 50 billion yuan of funds arrives, it will mean that the market will start hunting for US soybeans.

Seeing this, Zheng Yinhua became interested and thought this was a great opportunity. He immediately escorted Chen Jue out of the business hall with enthusiasm.

After Chen Jue got in the car and left, Zheng Yinhua picked up the business card in his hand and took a closer look. He fell into deep thought: "Chen Shang from Red Star Trading Company? The name of this company sounds so familiar! I seem to have heard someone mention it before!"

I worked overtime today and got home a little late. I was so tired that I will only update once tonight~


(End of this chapter)