The Great Sage Returns from Ten Years of Imprisonment

Chapter 180 A Series of Major Positive Developments

I was busy all day, and it was already past 1 a.m.

European stock markets have already closed, the US stock market is still in trading hours, and as for other markets in the Americas, they can be completely ignored!

The most important news of the day has finally arrived.

"Look everyone, the US government has finally stepped in! It's said that the US Treasury is planning a $7000 billion bailout plan to acquire distressed assets without limit."

With that shout, everyone instantly became excited.

They instinctively grabbed their mice and started checking the international financial news.

Although the news had only been out for a dozen seconds, its popularity soared, and it was easy for everyone to find the news online.

The next moment, the entire office area erupted in cheers.

"Wow! $7000 billion, that's a huge amount! Now that's what you'd call a bailout for the market!"

"The massive bailout plan has finally arrived. Does this mean that the international financial markets are about to launch a strong counterattack and recover lost ground?"

Everyone started talking at once, and they were all extremely excited.

In their excitement, many people turned to look at Lingyun's workstation, their eyes filled with amazement and admiration.

Like everyone else, Lingyun was also reading this important news.

Unlike everyone else, he wasn't as excited; he just smiled calmly, as if he had everything under control!

After quickly reading the news and browsing other related financial news, he checked the trends of the three major US stock indices.

After a moment's thought, he picked up the microphone and said loudly:

"Don't be misled by this major news, and don't get excited just because the three major US stock indexes have rebounded strongly. Now is not the time!"

"Confidence in international financial markets is currently very fragile, and it will be difficult for market sentiment to reverse before the US Treasury publicly confirms this bailout plan."

"Another reason is that the SEC's short-selling ban will take effect tomorrow, and short sellers around the world will go crazy with naked short selling today, especially in financial stocks where selling pressure will be very heavy!"

"Therefore, we'd better remain unchanged and stick to the established plan. This rebound will soon be extinguished by the naked short-selling wave; it'll be short-lived!"

His words were like a bucket of cold water poured over everyone's heads, cooling them down.

"Why!"

Everyone sighed in unison, but no one questioned Ling Yun's judgment.

Ling Yun smiled, then changed the subject.

"But Morgan Stanley and Goldman Sachs are good candidates for a day trade! Once Morgan Stanley rebounds above $23 and Goldman Sachs rebounds above $115, close your positions immediately!"

"Then wait patiently until Morgan Stanley falls below $20 and Goldman Sachs falls below $100, then go long again, keeping the investment size and leverage ratio unchanged!"

"Don't worry about missing out, or about not having enough shares to fill the gap again. Today, the trading volume of these two top investment banks is more than ten times the usual amount, so there will be plenty of opportunities!"

Upon hearing the trade order, the investment team responsible for the Goldman Sachs and Morgan Stanley stock transactions cheered.

"Okay, everyone, enjoy our performance!"

For the next three hours, the US stock market moved exactly as Lingyun had predicted, as if he were controlling it remotely!

The stimulus from the news of the US Treasury's massive bailout plan lasted only about half an hour before completely subsiding!

With doubts about the implementation of the bailout plan and an increasingly frenzied wave of naked short selling, the three major US stock indices were quickly suppressed and unable to rise!

This situation continued until 4 a.m., when US stocks finally closed with a sharp drop, near their lowest point of the day.

Upon seeing this result, everyone's gaze towards Ling Yun changed once again, as if they were looking at God!

Ling Yun remained calm and composed, packing his things while quietly discussing the international financial market situation with Chairman Lou and President Chen.

"Asian stock markets, which open later today, and European stock markets, which open in the afternoon, are very likely to be the first to experience a surge."

"When the US stock market opens tonight, it may gap down, especially the financial sector, which may even show signs of a crash. Please don't panic."

"This is a fake drop, a common tactic used by Wall Street to shake out weak hands. We can take this opportunity to secretly increase our positions and wait for the deep V-shaped reversal..."

Chairman Lou and President Wang exchanged a glance, nodded in unison, and uttered a few words of reflection.

"Understood. We will closely monitor the trends in international financial markets and will secretly increase our holdings if the opportunity arises."

"Wow! Your grasp of the international financial markets is truly astounding, I admire you!"

"You flatter me; I am unworthy of such praise."

Ling Yun smiled and exchanged a few polite words before continuing the conversation.

"Today is Friday. To ensure that international financial markets do not collapse and that we get through the weekend smoothly, the US Treasury and the Federal Reserve are bound to take significant action!"

"The US Treasury's $7000 billion bailout plan and the SEC's short-selling ban will definitely be announced before or during the market opens, and it will happen very soon..."

As he spoke, he had already packed his things.

After chatting with Chairman Lou and the others for a few minutes, he said goodbye and left, quickly going upstairs.

When he arrived at the joint investment team's office area upstairs, it was around 4:10 a.m., less than an hour before the NYSE closed.

At this time, international oil prices remained calm.

The atmosphere in the office area was quite relaxed, with everyone chatting and laughing while drinking tea.

Some investment teams are even taking turns monitoring the market and sleeping, a stark contrast to the usual tense atmosphere.

Seeing this, Ling Yun just smiled and didn't take it seriously.

He walked straight through the office area to his office, then called over Secretary Zhou and several investment directors to get a sense of the situation.

In the blink of an eye, it was already past five in the morning.

Following the US stock market, the NYMEX closed its trading session and entered settlement time.

Just then, the long-awaited large-scale market rescue plan finally received confirmation.

The U.S. Treasury Department has officially announced that it and the Federal Reserve have reached an agreement to jointly submit an emergency proposal to Congress.

The plan is to launch a massive bailout, with a maximum of $7000 billion, making it the largest government financial intervention plan since the Great Depression.

The moment this major news broke, the entire international financial market was in an uproar.

Before the cheers had even subsided, the U.S. Securities and Exchange Commission (SEC) jumped in with its own announcement.

Starting tomorrow when the US stock market opens, the strictest short-selling ban in history will be officially implemented, strictly prohibiting naked short selling of all 799 financial stocks in the US stock market!

Because extreme panic has gripped the entire US stock market and even the entire international financial market, short sellers in the market simply cannot borrow stocks to sell!

In this way, the actual scope of the short-selling ban is much larger, basically covering the entire market, which is equivalent to a complete ban on short selling!

The introduction of this short-selling ban has once again shocked the international financial markets!

Less than ten minutes later, the UK and Australia followed suit, swiftly announcing a ban on naked short selling of all financial stocks.

Following suit, financial authorities in countries such as France, Germany, Japan, and South Korea announced bans on short selling and intensified their efforts to rescue the market!

As these major positive developments came one after another, cheers erupted in the top two floors of the CIC headquarters office area!

Whether it was the joint securities investment team or the joint investment team, every team member cheered excitedly and danced with joy!

In the conference room, Ling Yun, who was reviewing the situation with Secretary Zhou and the others, had an incredibly bright smile on her face!

"As everyone wished, the international financial and futures markets stabilized today, making it another wonderful day for making a fortune!"

"International oil prices are likely to open high and continue to rise sharply, and stock markets from Asia to the Americas are bound to surge today!"

"The combined effect of the US government's bailout plan and the SEC's short-selling ban will, to some extent, reverse the panic in the financial markets."

"This will inevitably lead to a shift of funds from safe-haven assets to risky assets, thereby driving up international oil prices..."

Just then, a senior analyst suddenly pushed open the door and brought several more pieces of good news.

Hurricanes in the Gulf of Mexico have caused 93% of offshore drilling platforms to shut down, Nigerian oil pipelines have been attacked by insurgents again, and global crude oil inventories continue to decline...!

Before the analyst could finish explaining the situation, everyone burst into laughter.

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