Rebirth of Xiangjiang: Across the World

Chapter 418 Start to fight

At the same time, the long week finally came to an end. The Hang Seng Index plummeted 456 points in five days, falling every day, with no sign of bottoming out.

For stockholders, this is a painful week. Fortunately, it is coming to an end and ushered in a two-day rest day.

Although Hong Kong is a free financial market, the Hong Kong Stock Exchange also adopts the T+0 long-short hedging trading method.

In addition to being able to go long on stocks, investors can also stop losses in time and change from long to short.

However, the Hang Seng Index fell without warning, and every day it opened a gap suddenly. In the past few years, it has been in a bullish trend. They dare not and are reluctant to cut their meat and stop losses.

Moreover, there is a gap at the opening of the market every day, and the large capital priority trading system also makes them unable to react in time. When they can trade, they lose too much.

With too much loss, they are reluctant to cut the meat, hoping to usher in a short-term rebound, so that they can take the opportunity to sell and get back a little of the principal as much as possible.

The rebound did not wait, but waited for further losses, and thus fell into a vicious circle.

The market of shorting and longing at any time is only beneficial to financial institutions and not conducive to most retail investors. Because of poor information and non-professionals, they cannot hedge risks like big funds, and most of them just choose to go long blindly.

Shareholders can only pin their hopes on next Monday, hoping that the stock index has fallen too much this week, and the main force has no way to recover, and they are ready to wait for the new week.

After spending two days of peace and quiet without transactions, a new Monday is ushered in in a blink of an eye.

The Hang Seng Index gapped -1.2% at the opening, falling 52 points, breaking through the 4000-point mark in an instant.

The stockholders have become numb and can only cover their positions, or cut their flesh, or smash the pots and smash them directly, and vowed never to play stocks again.

Desperation gradually filled the entire market. The most obvious feature was that the trading volume on Monday morning shrank to an extremely exaggerated level.

Before last week, Hong Kong stocks with a total value of 1.2 had a daily trading volume of at least [-] billion or more.

However, in the new week, in the past two hours, the turnover of the entire market was only 128 billion Hong Kong dollars.

Everything seems to be announcing to the world that Xiangjiang's three-year bull market is over and a new round of bear market is coming.

Trading in financial markets has shrunk and banks have raised interest rates.

Countless people have a pessimistic attitude towards Xiaobawang, which will be listed next week.The general environment of the financial market is not good, even Zheng Yaoyang is powerless.

They no longer expect to double the listed stock price, they only hope to earn a dozen points, and they are satisfied.

As time went by, news gradually spread in Hong Kong that the Hang Seng Index plummeted all because of Zheng Yaoyang, and he should not represent a mainland company to go public.

Things in the world are not so coincidental. The Xiangjiang bull market lasted for several years, and even the financial crisis in Tokyo and the Gulf War did not affect them.

Why did the bull market end and usher in a bear market? It was all because Fuxing acted as an agent for mainland companies to go public in Hong Kong.

Although there seems to be no causal relationship between the two, the plummeting financial market and stockholders who are losing money need to find a channel to vent their emotions.

In the past few days, Stephen has been paying attention to the transaction details of the market every day, and he can't help showing a little confusion in his eyes: "Have you given up? Why don't you accept the offer?"

Wells couldn't help asking: "President Stephen, I think Zheng Yaoyang has already made a choice."

In the past few days, they have shorted the Hang Seng Index. They used banks to hold stocks to sell, and they did not short the index.

The main reason is that they wanted to consume Fuxing Bank's funds, not ruin the market. After all, they still want to rely on this market to make money in the future.

But those greedy international speculators don't care about the life and death of the Hang Seng Index, and while they are shorting, they are frantically shorting the Hang Seng Index.

It can be said that the profits obtained by speculators are sucking the blood of HSBC Bank. In just three days, the floating losses on their accounts reached 23 billion Hong Kong dollars.

If Zheng Yaoyang is not in the set, they must make a decision early and build a position at a low level for risk hedging, otherwise the loss will be too large, and it will be difficult to explain to the headquarters at the end of the year.

Stephen said coldly: "Manager Wells, you just need to do your job well."

Wells' face was ugly, but he dared not speak out.

On the other side, Zheng Yaoyang, who just had lunch, came to the stock operation room of Fuxing Building.

In addition to him, [-] traders will retreat here for more than a week, until Xiaobawang is listed and the threat from HSBC is calmed down.

"After waiting for a week, it's time for us to do it."

Before the afternoon session started, Zheng Yaoyang made two phone calls, respectively to Nix of Barings Bank and President Wu of Bank of China, informing them that they could enter the venue.

At the beginning of the afternoon session, the first tranche of funds was as high as 50 billion Hong Kong dollars, directly entering the Hang Seng Index.

Funds entered the market in a frenzied way to sweep goods, and the Hang Seng Index, which had been silent for a week, finally recovered, and the pointer on the K-line chart began to stage a scene of a dragon rising its head.

The rough way of entering the market, not being stingy about the use of funds, and Zheng Yaoyang's personal style, instantly attracted the attention of HSBC.

Stephen heard the news, looked at the transaction details on the screen, and smiled on his face: "Zheng Yaoyang is here after all, Wells increased the selling of stocks."

Wells responded, but a look of disappointment flashed across his eyes.

In fact, he wanted to call Zheng Yaoyang to tell Zheng Yaoyang not to fall into Stephen's tricks. He just wanted to use up Fuxing Bank's funds, so as to attack the listed Xiaobawang.

But their communication tools have been confiscated long ago, and now they can only hope that Zheng Yaoyang will work harder and reserve some funds to wait for Xiaobawang to go public.

Otherwise, when Zheng Yaoyang's undefeated golden body is broken, the day Xiaobawang goes public.

It took only 5 minutes for the Hang Seng Index to start midday trading. Many investors were surprised to find that although the index of the broader market did not rise too much, the trading volume surged in a short period of time. This also means that the market has begun to recover, and there may be a market in the afternoon.

A sum of funds worth hundreds of thousands or even millions can only be called a small amount, and more often it is a transaction amount of tens of millions.

Countless people rushed to tell each other, and the trading floor of the Hong Kong Stock Exchange heard ghosts and wolves howling.

Even the stockholders who were already standing on the roof, after hearing the news, took back their steps into the abyss and returned to the trading floor to watch the battle.

Finance is a war without gunpowder. Only those who are familiar with the trading rules can understand the meaning of red, green and green numbers.

"HSBC!"

"It must be HSBC!"

"The person who shorted our Hang Seng Index last week is definitely a white-eyed wolf like HSBC.

In the past week, HSBC has been lurking in the dark and quietly shorting. There is no opponent in the market. With the amount of funds they hold, others cannot see their strength.

But since Zheng Yaoyang faced the battle, a huge torrent of funds entered the market in an instant, and people can clearly see the strength of both sides in the long-short game through the numbers.

There are 598 stocks in the entire Hang Seng Index, [-] of which are the main battlefields of the long-short game, and the scale involved makes the onlookers dumbfounded.

They also know the identity of one of them. After all, Xiangjiang has this strength, only HSBC, Standard Chartered, and Bank of China, Zheng Yaoyang's Fuxing also has strength, but they don't have enough chips in their hands to short the market.

If combined with the rumors that the bull market has turned into a bear market, it is obvious that HSBC is shorting the Hang Seng Index.

According to this way of thinking, the person who is now playing against HSBC may be Zheng Yaoyang of Fuxing.

(End of this chapter)