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1145 Who's in the way

After this report discussing Li Changheng's wealth came out, countless people were shocked and almost had a heart attack, but they once again reported the stock prices of several companies controlled or held by Li Changheng.

Li Changheng knew that the media’s reports on the wealth he owned must be from companies such as Tongyong Electric, Fuguo, and Morgan Stanley.

We have jointly used some investors to blindly admire and trust their own money-making ability, and to boost the stock price of Qualcomm Yong Electric.

But even if he knew the causes and consequences, he could only suppress his dissatisfaction and did nothing and could not do anything.

Because my wealth is also rising, when I stand up and say something, not only will my opponent ridicule and attack me.

Even supporters think that he is against all shareholders and investors who are looking forward to a big rise in Tongyong Electric.

If you only ask for trouble with the editor-in-chief of the newspaper and the reporter, even if you vent your anger, you will be ridiculed for being accused of not even finding out who the mastermind is.

As for the previous concerns that someone would short Citi.

Before he took over the electrical company, when Citigroup's market value exceeded 30 billion, some people did try to sell several large-scale Citigroup shares.

But the market is eating these shares too quickly, which makes the bears hesitate immediately.

Worried about the market value of 30 billion is not the peak of Citi's rise.

If you don’t choose the right time to short, it will be against all investors in the entire market who are optimistic about Citi’s future.

After the news that Li Changheng had taken over the electrical company, the short sellers immediately lost half of them.

The reason is not just that he is worried that Li Changheng will have a way to stabilize Citi's shares, but his influence and power at this time spans the fields of banking, finance, military industry, media, etc.

It can be said that it is not an exaggeration to say that Li Changheng was the most powerful person in the United States at this time.

And even though he has mastered Citi, he has forced several consortiums to cooperate with him for the sake of his interests.

Unless the short sellers themselves have no stains, it is still unknown whether they can succeed in shorting at this time, but the strength of really shorting Citi will definitely be in huge trouble in the future, and will even last for many years.

This made at least half of the short sellers give up.

The remaining few short sellers who had not given up soon discovered that the market was too optimistic about Citi's prospects.

Even if they want to short Citi, it will be difficult to establish a sufficient number of short contracts.

Even many brokerages, when they hear that someone wants to short Citi, their first reaction is that they are crazy.

Moreover, even if the broker is willing to borrow stocks to short sellers, the margin amount will be directly increased to 50%. The broker that is willing to give is only 5 times the leverage ratio that the broker is willing to give.

While this shocked the bears, they also knew very well that under the premise of a 50% margin, if you want to use leverage to short, the funds you need will increase exponentially.

The last straw that crushed several dead short sellers was Li Changheng holding 700 million US dollars in cash.

With enough cash in hand, the short seller wants to attack, the difficulty will increase countless times.

700 million US dollars is enough to take up 2.3% of the total shares of Citigroup. Then, as long as Li Changheng is given half a day, Citigroup, Morgan Stanley, Wells Fargo and other banks, he will definitely dare to lend him 1 billion, 2 billion yuan.

When the market opened in the afternoon, all the abandoned bears were extremely grateful and afraid, there was news in the market that many funds and investment institutions were secretly contacting Li Changheng.

No need to guess, some brokerage firms must have leaked the news, or some of the short sellers intend to surrender, and use this method to force their partners to give up.

As for why the fund contacted Li Changheng, it was nothing more than trying to hand over the money to him, swallowing up the funds in the hands of short sellers with the advantage of funds, and by the way, it targeted the stocks in the hands of short sellers and brokers.

Generally speaking, when shorting, you must first have stocks in your hands or borrow stocks from brokers.

The brokerage firm either has the stocks of the target company in their own hands or can only borrow stocks from the same industry.

If you really can't borrow it, you will take out the stocks of other customers and lend them to the short sellers. This is also the main reason why futures need margin.

Because at the beginning, the deposit was paid.

The margin is gone, and the short sellers either continue to transfer money to the brokerage firm, or the brokerage firms directly close the position.

After the stock is borrowed, unfavorable news will be taken in the market, causing panic among retail investors, and then large sell orders will appear, which will aggravate the panic in the market.

Short sellers can buy stocks at a lower price and return them to securities firms to earn this price difference.

Leverage increases the amount of funds, but the risks will also increase exponentially.

Therefore, once there is a plunge or surge, even the broker itself is likely to fall below the pre-set closing price before closing the position.

Even if the principal is lost, it will also affect the brokerage company's losses.

Once the brokerage firm is not strong enough and cannot afford to lose money, the stocks are also valuable notes and must be compensated by the long ones.

When the bears got the news, even the American retirement and pension funds that could easily take out billions of dollars were contacted by Li Changheng, they immediately became timid.

Unfortunately, this group of people had already exposed themselves when they sold several large shares before and tested the market's reaction.

Moreover, Wall Street is really not big. If you look for connections and make a few calls, Li Changheng can easily know who the short seller with the largest capital is.

But what he didn't expect was that his opponent was actually a bank in Panama.

Without having to check, Li Changheng knew that this bank was the role of traders, not a real opponent.

Tell Taylor Garner tried to communicate with people from Panama Bank, and the news quickly came back.

After listening to Taylor's report, Li Changheng frowned.

Thinking about it carefully, I soon found out that this bank was a fund transfer station used by several flour merchants in Mexico and South America to wash money.

In other words, is there really a flour merchant who dares to provoke him?

Li Changheng thought it was not right.

Since he had doubts, Li Changheng quickly thought about whether someone wanted to induce his attention to the flour merchant.

Even looking forward to conflict with flour merchants to achieve some of their own goals?

Thinking of this, it seems that it is really impossible.

Then the question is, who dares to plot against himself?

Who have you offended in the past one or two years?

Or, I have blocked someone's way.

Li Changheng, who couldn't figure it out for a moment, quickly used the elimination method.

First determine whether there is really a flour merchant who dares to plot against him.

After signing a bill that must be reported for 10,000 US dollars in the last US dollar, the United States thought that this would stuck the flour merchant's neck.

However, it did not expect that more South Americans would enter the United States.

The reason is very simple. Since you don’t need to report it for less than 10,000 US dollars, then find some bad South Americans to establish a large number of accounts in banks in several southern states of the United States.
Chapter completed!
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