The Great Sage Returns from Ten Years of Imprisonment

It was 9 p.m., close to the opening of the US stock market.

European stock markets, which had been in a continuous decline, suddenly began to rise and quickly climbed above the water level.

The US stock market opened immediately and rose, with the Dow Jones Industrial Average gaining nearly 300 points at one point, and the market was jubilant.

The happiest among them were Lewis and Irwin, who had been on tenterhooks all day and were probably already popping champagne halfway there!

Yesterday, the United Securities investment team, along with other state-owned investment teams and institutions that followed suit in shorting the international financial market, were not heard laughing at all in the trading area.

Watching helplessly as yesterday's short-selling profits were rapidly eroded, everyone's expressions grew increasingly grave, and their eyes were filled with worry.

Only because of their absolute trust in Lingyun's investment acumen did no one raise any objections, and everyone was waiting for his trading instructions.

When the Dow Jones Industrial Average rose by nearly 3% and European stock markets generally rose by more than 2%, several investment directors finally couldn't sit still any longer.

They quickly huddled together to discuss the matter, then came to Lingyun's side and whispered their opinions.

"Lingyun, with the European and American stock markets rising so sharply, shouldn't we close our positions? If we close them now, we can still retain a small portion of our short-selling profits."

"If we had closed the position any later, we might have given back all our profits, or even suffered a significant loss, making all our efforts over the past two days worthless."

Ling Yun looked up at the European and American stock market quotes on the electronic screen, then turned to look at President Chen and the others.

He glanced at the investment directors, then shook his head with a confident smile.

"Everyone, you're overthinking it. The current strong rebound in European and American stock markets is just an illusion; it has no sustainability whatsoever."

"For us, not only should we not close our positions now, but we should also increase our short positions to try and make greater profits from short selling."

"Huh, keep adding to your short positions? Did I hear that right?"

Several investment directors were startled and looked at Ling Yun in disbelief.

"Stock markets in Europe and the US are currently booming, with virtually no signs of decline. Where are the short-selling opportunities you mentioned? Could you explain them to everyone?"

"Clearly, the US government's tactic of forcing the House of Representatives to back down through the Senate has been very successful. The market now widely believes that there is a very high probability that the House of Representatives will pass the bailout plan."

"Once the market rescue plan is officially passed, the scene from the early hours of the 30th should not be repeated. This time, a general market rally is likely."

Everyone chimed in, expressing their own judgments and opinions.

Lingyun had previously told Deputy Director Zhang and Chairman Zhao that the US stock market would continue to decline after the House of Representatives passed the bailout plan because the enthusiasm had been exhausted, but he had not told President Chen and the others that.

That's why Mr. Chen and his team reacted that way.

On the other hand, Chairman Zhao, who is far away in Shanghai, remains calm and composed, and has not lost his composure despite the current situation!

After Mr. Chen and the others finished speaking, Ling Yun smiled and shook his head again.

"Everyone is right, but that's a normal market reaction. We're in the early stages of a financial crisis now, which is not a normal market environment, and we can't judge it by common sense."

"The reason I say this is a golden opportunity to increase short positions is mainly based on the following points. First, the market has priced in the positive news in advance, turning it into a negative one."

"Secondly, the expectation of a global economic recession is confirmed, and rescue policies are unlikely to change the fundamentals. Thirdly, the severe credit tightening and liquidity risks have not been alleviated. Fourthly, the uncertainty surrounding rescue policies is too high."

"Given the combined effect of these factors, it's unlikely that the European and American financial markets will see much movement tonight. The Dow Jones Industrial Average is estimated to rise by a maximum of around 3%, making it difficult to break through to the upside, and it may even decline..."

The investment directors all fell silent, each looking deep in thought.

They were all top professionals in the industry, and with Lingyun's deliberate guidance, they quickly became aware of these problems.

Considering the current state of the international financial market, they realized that Lingyun's judgment was likely correct!

However, the across-the-board rise in European and American stock markets made them a little worried. What if Lingyun's judgment was wrong?

Even if his judgment is correct, what if the market loses its rationality and moves in the opposite direction under the influence of emotions?

If such a situation occurs, it could result in significant losses.

Seeing the changing expressions on President Chen's and the others' faces, Ling Yun smiled and continued his analysis.

"The stock markets in European countries and the US stock market tonight are likely to show different trends. The reason for this difference is the timing of the US House of Representatives' voting process."

"According to the published procedure, the US House of Representatives will begin its debate at 11 p.m., and the actual vote will take place around 1:20 a.m., by which time European stock markets will have already closed."

"In view of this, I predict that European stock markets will not fall tonight and will maintain their current upward trend until the close. This is a rebound in anticipation of the passage of the bailout plan in the European market."

"The US stock market is different. When the House vote results are released, the US stock market will still be in session, giving it plenty of time to fall back, and it could very well close below the opening price."

"In light of this, we can now enter the market, increase our short positions, and then adjust our strategy based on the market reaction. Once the US House of Representatives votes, everything will become clear..."

As they were talking, an analyst next to them suddenly shouted:

Breaking news: Wells Fargo has just announced its acquisition of Wachovia for $151 billion through a stock swap.

"The U.S. Department of Labor just released the September non-farm payroll data, showing a decrease of 15.9 non-farm jobs, the largest drop since 2003..."

Upon hearing these two pieces of news, everyone simultaneously looked up at the electronic screen, ready to see how the European and American financial markets would react.

Everyone here is a professional, so they naturally understand the significance of these two news items.

The first message is one thing, but in today's international financial market, the exciting drama of big fish eating small fish and small fish eating shrimp is happening every day!

Wells Fargo is undoubtedly a financial behemoth, while Wachovia is on the verge of bankruptcy and destined to be swallowed up, which is perfectly normal!

The truly significant piece of news is the second item: the US non-farm payroll data!

Normally, such poor non-farm payroll data would definitely cause turmoil in the financial markets, let alone at this sensitive moment when the situation is extremely precarious!

as predicted!

The European and American stock markets, which were just riding high, suddenly hit the brakes and stopped rising!

As luck would have it, the Dow Jones Industrial Average was about to break the 3% mark when it stopped at the last minute.

After consolidating for less than ten seconds, the Dow Jones Industrial Average suddenly turned downwards!

In just about half a minute, the increase had narrowed to about 2%.

"brush!"

Mr. Chen and the others all turned to look at Ling Yun, their eyes filled with shock.

Those burning eyes were as if they had seen God!

Ling Yun slapped his thigh and complained in annoyance:

"Sigh! I was so busy chatting that I missed the best opportunity to add to my position. I'll have to lose a point! Luckily, it's not too late!"

As he spoke, he reached for the microphone on the table and quickly issued a trading order.

"Listen up, all trading teams! Immediately increase your short positions in European and American stock markets. Leverage can be increased to six to eight times, but naked short selling is strictly prohibited."

"As before, the main target of this short selling is still financial stocks in European and American stock markets; they are lambs to the slaughter."

"These European and American financial institutions are waiting for a bailout plan to save them. Let's give them a good stab and bleed them dry."

"Hahaha"

A burst of laughter erupted in the office area; everyone was laughing.

As soon as the laughter subsided, the numerous traders immediately responded enthusiastically.

"Got it, watch us!"

Standing behind Ling Yun, President Chen and the others also had smiles on their faces.

Immediately afterwards, they quickly took out their phones and sent the transaction order to their respective company CEOs and investment teams.

At this point, they had no more doubts about Lingyun's investment strategy!