Reborn Xiangjiang as a Tycoon

Chapter 344: Beating the short sellers (6)

When I got up around eight o'clock the next morning, Lin Baicheng called and asked what the international gold price was now.

It was around US$205.5 per ounce. Yesterday, the international gold price rose to a maximum of US$208.46 per ounce, and then fell back to around US$206, fluctuating up and down.

Although it was lower than the US$206.63/oz price before Lin Baicheng went to bed last night, the price of US$205.5/oz, based on the cost price of US$206.8/oz, the loss was only about six thousandths.

Even if you use ten times leverage, the loss will only be about 6% of the total principal.

From an investment perspective, a 6% loss is not a loss at all, let alone an investment in the futures market.

Regarding the current international gold price, although Lin Baicheng was a little regretful that it did not reach a higher price, he was not disappointed. At least it was not much different from the cost price. Therefore, he called someone to arrange for someone to announce the news and let the market

Got this good news.

Until nine o'clock in the morning, there was no negative news about Hutchison Whampoa in the market. It is true that the short sellers want to create bad news, but they cannot create it if they want to. It also takes time to do things. It does not mean that they want to create bad news yesterday.

There will be negative news.

The sharp rise in international gold prices is indeed good news for Hutchison Whampoa. During the call auction stage, the stock price rose to above 40 Hong Kong dollars.

At this moment, the short-selling British family did not choose to sell the stock, because they knew very well that it is difficult to suppress the stock price when there is a big benefit. Selling the stock at this time has a very high possibility of being long.

Take them all.

After the stock market officially opened, Hutchison Whampoa's stock price continued to rise, rising to about HK$45 in about half an hour, an increase of nearly 18%.

When the stock price was about to reach 45 Hong Kong dollars, Henry Kaiser and others sold 1 million shares in a tentative attempt to suppress the stock price, hoping to see if they could suppress the stock price. Unfortunately, their sell orders were eaten up in just a few seconds.

The strength makes them afraid to sell stocks anymore.

In the VIP room of the Hong Kong Stock Exchange.

The short sellers, headed by Henry Caesar, Michael Kadoorie, George Swire, and John Madden, gathered together and looked at the rising stock price. Each of them looked very ugly.

Looking at the crowd, Henry Kasik said in a deep voice: "Guys, now that Hutchison Whampoa's stock price continues to rise, what should we do?"

George Schweizer shook his head: "What else can we do now? Unless the price of gold falls sharply, the bad news we have created will not have much impact on Hutchison Whampoa's stock price and is meaningless."

Someone asked unwillingly: "Are we just going to admit defeat?"

"well!"

John Ma could not help but sigh: "The price of gold suddenly rose sharply. This was unexpected and beyond our control. Now, we still have to consider that the price of gold continues to rebound. What should we do if the price of gold continues to rebound?

If it rises to US$212 or even higher, Hutchison Whampoa's investment will make another huge profit. At that time, if the stock price is not good, it will rush to the previous high, and our losses will be too great."

Michael Kadoorie said with an ugly face: "But if we admit defeat now, our losses will not be small."

Henry Kaesik said: "If we start buying stocks to cover now, I'm afraid we won't be able to stop buying stocks at an average price of HK$50. It will be even higher, and our losses will be more than one billion Hong Kong dollars."

John Madan suggested: "Let's continue talking to those Americans. It would be best to take over the stocks from them, so that the stock price will not rise the more we buy."

George Schweizer couldn't help but said: "The Americans had asked for no less than 40 Hong Kong dollars before, let alone now. I'm worried that their appetite will be too big."

John Ma said: "No matter how big your appetite is, you still have to talk."

Henry Kasik said aloud: "Let's unite our opinions and decide to admit defeat."

After that, everyone started discussing. Some people felt that it was impossible to win, so they surrendered before the stock price reached too high. Some people felt that they could still give it a try, but the losses would be too great to admit defeat now, and they were unwilling to do so.

Finally, after considering everyone's opinions, the short side made a decision. They decided to negotiate with those Americans and buy the missing stocks from them, instead of buying from the market to avoid damaging Hutchison Whampoa's stock price.

Raising it too high will push their average buying price too high; on the other hand, the negotiation cannot be done at noon and then concluded in the evening. Take advantage of the negotiation for a few days to observe and see if the international gold price will change.

If it continues to fall, will Hutchison Whampoa's stock price fall?

Making such a decision shows that although the short-selling British-owned families are very unwilling to do so, they have already made plans to admit defeat and know that the general trend is unavoidable.

This morning, in addition to the continuous rise of Hutchison Whampoa's stock price, I don't know if it was driven by the rise of Hutchison Whampoa's stock price in the past two days. The entire Hang Seng Index finally rebounded greatly today, almost generally rising.

Stocks in nearly every industry sector are rising.

There have been enough adjustments in the Hang Seng Index in the past. Once the market thinks that the adjustment is in place and reaches the bottom, there will naturally be a larger rebound.

At about 10:30 in the morning, Hutchison Whampoa's stock price sprinted towards the price of HK$50. However, it quickly fell after it rushed up, and then fluctuated between HK$46 and HK$49. It did not sprint towards HK$50 until the closing of the morning.

, but it didn’t fall below the price of HK$45.

During this period, around eleven o'clock, Lin Baicheng learned something, that is, the British-owned family contacted Vivien Kelly and the others again and wanted to buy a large amount of Hutchison Whampoa shares from them.

Lin Baicheng gave a new instruction before the market opened in the morning. If the British-owned family came to negotiate with them, they would negotiate with the British-owned family. However, the selling price could not be lower than 45 Hong Kong dollars. The higher the better.

Although if Lin Baicheng does not sell the stocks to the British-owned family, the British-owned family can only buy them from the market, and the price will only be higher. Lin Baicheng will slowly make more money by selling the stocks. However, Lin Baicheng is

The acquisition in the United States now requires money. He does not want the funds to be stuck here for too long. It is best to get the liquid funds as soon as possible to avoid changes in the acquisition in the United States.

Furthermore, if the British-owned families are allowed to buy stocks and admit defeat, they will not continue to target Hutchison Whampoa Company. If it really drives them crazy, Lin Baicheng cannot guarantee what they will do.

As long as the interests are large enough, it is not impossible for the Hong Kong government to directly suppress Hutchison Whampoa. Now that Hong Kong is a British colony, Lin Baicheng is afraid that he will not be able to withstand the pressure from the Hong Kong government.

(End of chapter)