Era: Starting from divorce from female college student

Monday, October 12, 1987.

As soon as the New York Stock Exchange opened, many companies' stock prices began to fall, but fortunately, the decline was only a few cents to a dollar or two.

There was no very violent tremor.

"Wait, isn't today a stock market crash? It's already a new week!"

Inside the villa estate in Deep Water Bay, Hong Kong Island, Little Peach stared at the stock market screen and, seeing the fluctuations in stock prices, couldn't help but wonder.

She thought the stock price would plummet today.

"Hasn't the stock market crash that Dad was talking about arrived yet?"

The little bun nodded in agreement:

"Judging from the current situation, it shouldn't be a stock market crash yet. Dad said that at least several hundred billion dollars would evaporate in a single day, but at most it's only a few tens or hundreds of billions that have evaporated so far."

Zhao Yuechan suddenly said:

"Second sister, when will we be able to make a lot of money?"

She's only thirteen years old this year, still young, and doesn't really understand stocks.

The reason for investing was due to environmental factors, plus her father, Zhao Mancang, said that this stock market crash was a great opportunity.

"How would I know?" The little boy shook his head. At this moment, Zhao Jinshi suddenly spoke up:
"I think a stock market crash isn't too far off."

"US stocks started to fluctuate last week and are still fluctuating. I estimate that either tomorrow or the day after, or next week, there will be a breakout. In short, we should just sit back and watch the show."

Just then, Zhao Siyu suddenly said:

"Fourth Brother, can I buy more shares now?"

These words served as a reminder to everyone.

Zhao Jinshi, a skilled stock trader in his family, offered the following advice at this time:

"Sure, Dad said that if you can withstand the pressure and fully cope with these losses, then there's no problem."

You think you can scare everyone with this?
That's practically impossible.

Little Baozi, Little Peach, Zhao Siyu, and the other girls all increased their holdings at this time.

They even leveraged their resources and went all out!

Compared to them increasing leverage and positions at this time, Zhao Mancang had already gone all in two months ago.

The Sam stock market crash is a once-in-a-lifetime event; it would be a waste not to seize the opportunity.
Yunlan City, Municipal Government Office Building.

Zhao Mancang was having a meeting with Chen Guohua, Zeng Zhaoshun, Gu Zhenan, Lü Yangui, and others.

They discussed the proposal made a few days ago by His Highness Nasser Aziz, the Crown Prince of the Saudi Empire.

"Sir, I believe we should be able to help with oil extraction. Although we would need to station troops there, I think it would be well worth it."

Chen Guohua was the first to speak out in support.

As is widely known, Yunlan City possesses astonishing high-tech capabilities.

Zhao Mancang himself admitted that the arsenal currently has a stockpile of 300 Mach 5 fighter jets.

Therefore, clearing inventory is a crucial task.

For Yunlan City, oil may not be a crucial resource.

But they are indispensable supplies.

The population of Yunlan City is growing rapidly, and it is estimated that the total population within its borders will exceed 20 million before long.

Population growth has also led to an increase in other consumer goods.

For example, cars!

According to current investigations, there are over six million cars in the entire Yunlan City.

Private cars account for more than 40% of the market, and this segment is the fastest growing.

According to the survey results, most families in Yunlan City are relatively wealthy and have a very high demand for family cars.

The increase in cars has made gasoline one of the biggest daily consumer expenses.

For most residents of Yunlan City, among the four aspects of daily expenses—clothing, food, housing, and transportation—the expense of cars is the largest.

To be fair, gasoline in Yunlan City is not expensive; in fact, it is even lower than the global average price.

But it's definitely not free.

Since money is still needed, it is a considerable expense for the residents of Yunlan City.

Therefore, storing more oil is crucial for the long-term development of Yunlan City.

We can't say that because Yunlan City is close to oil-exporting countries like the Saudi Empire, we can ignore oil, right?
Certainly not.

One must have long-term plans in life, and this is even more true for the management of a country.

"I agree with Lao Chen's suggestion, and I also think it would be more appropriate to do it this way."

"Yes, Saudi Arabia's oil is crucial to us; many modern industrial products cannot function without oil."

"Yes, I agree. However, I don't think we need to become completely tied to the Saudi Empire. What if they are threatened by other countries and stop supplying us with crude oil? Wouldn't that be terrible?"

While everyone's opinions weren't entirely aligned, they all hit the nail on the head.

Zhao Mancang was very clear about the main point of today's meeting, but he understood something even more clearly.

That is, he hopes that future similar meetings will allow him to understand the personalities and interests of people like Chen Guohua, as well as whether they have a sense of the big picture.

The meeting lasted for nearly half an hour and then ended quickly.

The result of the discussion was that Yunlan City would send the Black Cross troops to the neighboring oil field to guard it.

Yunlan City can directly extract crude oil, which means that oil field belongs to Yunlan City.

Thus, the deal for the Mach 5 fighter jet, which had lasted for nearly a year, was finally completed smoothly.

Nasser Aziz was overjoyed and, upon receiving the notification, immediately brought his men to take over.

"Lu, thank you so much, my friend. You know, I've been looking forward to your fighter jet for so long. I've been thinking about it day and night for the past year."

Upon seeing Lü Yangui, Nasser Aziz excitedly shook hands with him and kept babbling flattering words.

"Okay, I understand. You can take the plane away now. We've already made arrangements for the after-sales service."

Lü Yangui nodded, without engaging in further small talk with the other party.

The fighter jets have already been sold; now we're just waiting for the fish to bite.

Yes, this sale of Mach 5 fighter jets will definitely attract the attention of other countries.

Zhao Mancang wasn't setting a trap; after all, Yunlan City had already issued a stern announcement prohibiting the resale or leasing of Mach 5 fighter jets.

Moreover, warnings were given repeatedly during this transaction.

Written and verbal warnings have been issued frequently.

However, due to the high unit price of the Mach 5 fighter jet, many countries have not agreed to purchase it.

If the Saudi Empire suddenly and successfully acquired a Mach 5 fighter jet, then other countries will definitely try to get one for scientific research.

For example, Moscow, the United States, and France.

In short, in their view, Yunlan City was not something they could easily control.

But the Saudi Empire is still at their mercy, allowing them to manipulate it as they please.

In fact, the situation is that simple right now.

No matter how much the Saudi Empire resists, it cannot change the facts.

However, let's set aside what will happen in other countries for now.

With the arrival of October 19th, a global stock market crash was about to erupt. From October 12th to 16th, the US stock market had been fluctuating wildly for five days.

The downward trend is not very obvious, but it is clear that the stock market is not very stable.

Even so, none of the financial giants, including Buffett and Soros, realized that a stock market crash was imminent.

On the 16th, after the New York Stock Exchange closed, Zhao Jinshi said:
"Alright, this week is over. The stock market crash will definitely happen next week, either Monday or Friday."

Even with answers in mind, Zhao Jinshi couldn't pinpoint the exact date of the stock market crash.

Because such stock market crashes are so unpredictable, no one knows when they will happen.

After all, no one can understand the intricacies of things before an avalanche.

However, once an avalanche occurs, all the snow on the entire mountain will be carried away.

Little Peach and the others remained silent.

They experienced a rollercoaster of emotions over the past week.

Stock trading is so exciting!

People with heart conditions who try to trade stocks are likely to end up in the ICU within minutes, or even die on the spot.

October 19, 1987, Monday.

The New York Stock Exchange opened for business as usual, and trading began smoothly at 9:30 a.m.

Within just five minutes of the market opening, the entire stock market showed signs of collapse.

Motorola, Boeing, ExxonMobil, U.S. Oil Company, AT&T, Sony, and other publicly traded companies all suffered losses.

Despite the varying degrees of loss, it's clear that such losses are indeed terrifying.

For example, AT&T's stock price plummeted by 15 percent in just five minutes, which was absolutely terrifying.

Even drop towers aren't that dangerous.

"A stock market crash is coming!"

Some people who leveraged their investments to go long in the stock market suffered margin calls at this time.

Because these types of people simply don't have enough margin, they can't meet the margin requirements of the financing company, so they are forced to liquidate their positions.

In fact, the stock price plummeted so quickly that there wasn't even time to notify them before their positions were liquidated.

For investors who had staked all their assets on the US stock market, the sky seemed to have fallen at that moment.

These people are extremely gamblers; they are a group of people who will stop at nothing to make money.

So now they're getting their comeuppance.

After all, if you stand by the river long enough, you're bound to get your shoes wet.

As a result, quite a few people have already come to the roof of the building and lined up to become aerial acrobats.

As we all know, Manhattan is a city filled with skyscrapers.

The top floor is rarely locked, and even if it is, people who want to fly can always find a way.

When people are desperate, they are indeed capable of doing anything.

Bang!
Alice, who was about to go out to buy coffee in front of the Empire State Building in Manhattan, was startled by a dark figure that suddenly appeared out of the sky.

A few drops of scalding blood then splattered onto her face.

This caused her delicately made-up face to look completely different.

The scarlet blood was so hot and burning.

what! ! !
A piercing scream rang out at the entrance of the Empire State Building.

Many people nearby were stunned, and then became onlookers.

"Is this what a stock market crash is like? I've made so much money!"

On the other side of the world, even though it was still nighttime, Xiao Baozi and his friends were staring at the trading board.

Seeing their unrealized profits steadily increasing, they all cheered.

The unrealized profit in my account kept increasing, fluctuating several times almost every few seconds—it was terrifying.

This rate of making money is even more terrifying than a bank's printing press.

Zhao Jinshi, however, remained very calm:
"We've made money, but you don't know that right now in New York, there are probably a lot of people just waiting to die."

what?
The smiles on Xiao Baozi's and his friends' faces froze instantly.

On second thought, it doesn't seem like a big deal.

Investing involves risks; proceed with caution.

This statement is a golden rule when viewed in the context of global stock markets.

We're all adults; when we sit down to play cards, we have to be able to take it or leave it.

The game of capital is never that simple.

Moreover, this is a game played by players all over the world, so it's even more so.

There's nothing to pity about; it's their own fault for courting disaster.

The morning session has ended, but more than $300 billion has already evaporated.

Little Baozi and the others stopped watching the market and went to sleep.

There's no need to watch the afternoon session in New York.

What happened today was exciting enough.

Since a stock market crash has already occurred, no one will be foolish enough to go against the market trend and cause trouble at this time.

A major stock market crash has occurred.

Many executives of financial institutions, including Beijiang Bank, are so excited they can't sleep.

They made a fortune.

It’s so profitable.

"How much money do you think will evaporate from the US stock market this time?"

"This morning, I saw that many companies' stock prices fell by at least 25%, such as Coca-Cola, which I've been following closely; its stock price plummeted by at least 29%."

hiss!
As the discussion unfolded, the stock prices of many Sam's Club companies plummeted, which was truly alarming.

It's no wonder that these short-selling accounts have made a lot of money.

Inside the JPMorgan Chase headquarters building, the CEO sat in his office, having already received a report from his subordinates.

The losses are currently enormous!

As one of the top giants on Wall Street, they naturally hold a large number of stocks and securities of listed companies.

As a result, many companies have approached JPMorgan Chase to short the US stock market.

Companies including Motorola, Coca-Cola, McDonald's, and Boeing are among those targeted by short sellers.

Judging from the current situation, JPMorgan Chase has lost at least more than $30 billion.

Because JPMorgan Chase is a large and powerful company, it suffered the greatest losses.

What should I do?
In the current situation, everyone is at a loss.

Because stock market crashes are like avalanches, no one can predict them and no one can stop them.

No one would be foolish enough to bail out JPMorgan Chase at this time.

Good fortune can be shared, but when disaster strikes, everyone scatters. (End of Chapter)