Dreaming back to 1949, the great powers were there to deceive us
Chapter 248 Selling Shares
May 5th, Foggy City, Tuesday.
Fog City Real Estate has been booming recently, with an absolute upward trend, crushing all short sellers!
The famous big short Danny came to the exchange early in the morning. What he did every day was to be bearish.
Even though this guy almost lost all his pants, he still refused to change his ways.
In the foggy city, there is a reverse indicator called the Danny indicator. As long as you buy in the opposite direction, you will definitely make money.
When the market opened in the morning, Wudu Real Estate opened 2% lower.
Danny yelled,
"The Fog City real estate market has peaked and is starting to fall back!"
He ran to the trading counter, took out his only remaining 8000 pounds, and shouted,
"Quick, borrow 200 shares of Magic City Real Estate and sell them!"
The teller and Danny were old acquaintances. While handling the business smoothly, he joked,
"Mr. Danny, would you like to leave some money for lunch?"
"No, I have a feeling that the real estate market in Shanghai has reached its peak and will soon turn downwards!"
He turned around and shouted at everyone,
"Those who believe in Danny will have eternal life!"
As soon as he finished speaking, the teller's voice came from behind him.
"Mr. Danny, your business is done. Please sign here!"
When he finished signing, there was a sudden commotion outside.
"The latest news from Shanghai: To curb the rapid rise in raw material prices, the Shanghai Development Zone Management Committee has issued an announcement prohibiting new housing construction approvals. This move is beneficial to the existing real estate market. As of press time, Shanghai housing prices have skyrocketed by 30%!"
Danny suddenly fell to the ground with a look of despair!
In the blink of an eye, the share price of Fog City Real Estate instantly rose by 30%, and the trading volume expanded rapidly!
Danny Contrarian Indicator shows its power again!
Thousands of miles away, the Magic City!
China is in the East 7th Zone, while Fog City is in the Zero Time Zone, so in terms of time, Fog City is hours behind China.
It was 6pm in Shanghai, but 11am in Fog City, the stock market trading hour.
A group of foreign company executives gathered at Huaqi Foreign Company. In front of them was the trend chart of Fog City Real Estate.
The overwhelming trend did not arouse people's interest at all. What they cared about was the trading volume!
So far, everyone has sold tens of millions of pounds worth of stocks, but this is far from enough, because the total amount of shares held by everyone is as high as hundreds of millions of pounds.
There is still a long way to go!
Stocks are a zero-sum game. If someone makes money, someone must lose money!
If you want to run away, someone must take over.
In a few hours, the New York Stock Exchange will also open.
Charlie was the first to break the silence.
"Everyone, we have to finish selling before the market closes today. Otherwise, once the trading volume data comes out, investors will definitely notice something is amiss. My suggestion is that we pool our money together and double the price of the house!"
Kenny sighed and said,
"We knew it was a trap, but we still jumped in. How much money will it cost?"
Morris blew out a puff of smoke and said expressionlessly,
"There's an old saying in China: You can't catch a wolf without sacrificing your child, and you can't catch a gangster without sacrificing your wife! Compared to the gains, our investment is nothing. I estimate that 1000 million yuan should be enough!"
Charlie echoed,
"That's right, buy when prices are rising, not when they're falling. Once people see how aggressively housing prices are rising, they'll be reluctant to sell. We can raise prices without spending much money!"
Descartes stood up, his eyes stern,
"Everyone, if all the stocks are sold successfully, the profit will be at least 5 million yuan. This is a huge piece of fat meat, no need to explain it in detail! Therefore, I hope everyone will unite sincerely and not engage in any private tricks. Anyone who ruins this favorable situation will be our common enemy!"
Morris agreed and shouted,
"From now on, everyone must stay at Florescence until all the shares in Fog City and Newtown are sold off. This is a great opportunity for everyone to bond!"
……
At the dock, cargo merchant Luo Ping was spitting at a group of people.
"What's there to worry about with falling raw material prices? Look at how much housing prices have skyrocketed. If the Mokai District doesn't approve new developments, aren't there other districts? If houses in the Mokai District are priced at 10 yuan, then 2 yuan in other districts isn't too much, right? They're all houses, it doesn't matter where you live! Just wait and see, once prices in other districts rise, it's bound to drive a huge demand for construction!"
Luo Ping held a paper trumpet and shouted,
"Buying pig iron at the bottom! Buying pig iron at the bottom!"
In the crowd, Hao San yawned. He always lacked sleep.
The passenger transport business has been booming recently, with a large number of citizens traveling back and forth between the pier and the city. Every trip by Hao San is packed!
The engine of his motor tricycle was emitting high temperature all the time.
Hao San handed the dozen or so rice-dollar banknotes in his pocket to Luo Ping and said with a smile,
"Mr. Luo, I want to buy two pieces of pig iron. Can you help me deliver them home?"
Luo Ping took out the small notebook in his arms, found the area where Hao San was, registered his name, and said with a smile,
"No problem, just take a look!"
As he said that, he handed a receipt to Hao San.
Hao San has been stockpiling goods frequently recently. He immediately exchanges the money he earns from soliciting customers for various raw materials, such as grain, sugar, cloth, and coal. However, what he stockpiles the most is pig iron!
Because this thing is so heavy, even a petty thief can’t move it!
Luo Ping would arrange for Sibu Xiang to deliver the iron blocks to his door, and there had never been a mistake!
Besides, hoarding iron always makes people feel more secure than holding banknotes!
After TA's ordering meeting ended, the prices of various raw materials rose sharply, almost doubling, and only today did a sharp correction occur.
The drop is about 30%.
But soon, prices began to rebound.
This is also the main reason why Hao San dared to buy at the bottom.
Even with a 30% price reduction, foreign traders can still make a profit, and their enthusiasm for transferring goods to Shanghai remains unabated.
The trend of hoarding goods has spread throughout the Magic City.
There are always only two topics in the market: real estate speculation and hoarding!
There is an iron law in economics: when everyone is celebrating, the crisis has actually already opened its eyes.
This is the general law of the development of things and cannot be changed by anyone's will.
At Hengye Real Estate Agency, Xu Zhenglin is taking a nap.
Like Hao San, Lao Xu also suffers from severe sleep deprivation!
Xu Zhenglin couldn't remember how long it had been since he had a good night's sleep!
Suddenly, a burst of hurried footsteps woke Xu Zhenglin up. He looked up and found a tall white man.
"Mr. Manager, do you have any properties listed in the Mokai District?"
"Buying a house?"
Xu Zhenglin instantly became alert.
House prices have risen sharply recently, but buyers are afraid of being trapped, while sellers are afraid of missing out, so both sides are very cautious.
In this case, there is no demand for it!
Real estate agents earn commissions, but without sales, they earn nothing.
It seems that this round of skyrocketing housing prices has little to do with real estate agents!
Xu Zhenglin was feeling incredibly uncomfortable, and now, surprised to hear someone was asking for advice, he was incredibly happy!
Lao Xu quickly straightened his appearance and went to meet him with a big smile on his face.
"Sir, there are twelve houses in the Demon Development Zone! They are located in..."
Before Xu Zhenglin finished speaking, someone interrupted him.
"I want them all, let's sign the contract!"
"Don't you even ask the price?"
"No need, I've already seen your listing price!"
Xu Zhenglin observed the person very carefully and confirmed that he was not Zhao Zhi.
He quickly called the waiter and said,
"Quick, take down the sign outside!"
The white man quickly stopped him.
"NO! NO! NO! Don't remove the sign! Raise the listing price by 30%!"
"what?"
Xu Zhenglin looked at the dazed fellow and said quickly,
"Hurry up and do as the customer asks. After signing the contract, the house will belong to this gentleman!"
The white man didn't even look at the contract, he just signed his name and then went to the bank to handle the transfer and payment!
The whole process was neat and tidy, without any delay.
Xu Zhenglin was a little dazed. When he returned to the store, he received shocking news: the property just purchased by the white man was actually sold, which means that the foreigner made 30% profit in an instant.
This is faster than robbing money!
What shocked Xu Zhenglin even more was what happened next. People came to list their properties one after another, and each price was higher than the last. The key was that there were still people willing to take the offer!
In just two hours, housing prices in Shanghai doubled.
This wave of rise was so unpredictable that not only ordinary people failed to react, but even Xu Zhenglin, a witness who worked as a real estate agent, found it magical!
It seems that in this place called Magic City, anything that happens is reasonable!
Xu Zhenglin made a number of phone calls for consultation but still couldn't figure out the reason for this wave of increase.
All of a sudden, a large number of "experts" emerged and promoted various favorable policies!
Late at night, a rumor spread quietly: The West reached an agreement with the Red Forces not to treat the Magic City as a war zone!
This statement is very popular.
Half an hour later, another piece of news spread that major foreign companies would increase their investment in the Peony Palace, with the additional investment exceeding 1 million yuan!
This news corroborates the 'rumors' and is very convincing!
At Huaqi Foreign Company, cheers broke out in the conference room!
Morris's eyes rested on the clock by the table.
In Fog City time, it is 4: p.m. and the stock market closes.
And in Shanghai time, it is 11: pm!
Charlie stood up and laughed.
"Gentlemen, according to the telegram we just received, our 'liquidation' operation is going very smoothly. Currently, the profits have begun to be transferred out through special channels. Next, it depends on the sales situation in New City."
Charlie changed the subject and shouted,
"I want to remind everyone to be careful with their mouths. The regulatory authorities are not pushovers. You can expect them to launch an investigation. Anyone who causes trouble for everyone should consider the consequences!"
Kenny looked at the profit figures on the blackboard and smiled happily. He elegantly picked up a cup of coffee, took a sip slowly, and said with a smile,
"What do you have to worry about? We've rented our house to TA. Even if regulators investigate, our transactions are genuine and valid! The daily trading volume in the stock market is so huge, and we operate through fake accounts. The regulators are not God, so how can they find us?"
Kenny's optimism was justified because they manipulated stocks mainly in Newcastle and New York, and no matter how they investigated, they could not trace it to the Austro-German Trading Company.
Morris gave Kenny a meaningful look and warned,
"Don't take this lightly! If anyone is caught by the regulatory authorities, it's best not to implicate others!"
That cold look made everyone shudder!
Capital is bloodthirsty. People even dare to challenge the regulatory authorities, let alone hire someone to kill someone!
Charlie knocked on the table and shouted,
"Gentlemen, let's discuss the impending crisis. My advice is to quietly sell off as many properties as possible!"
Everyone nodded.
Morris waved his hand.
"I'm not worried about a real estate crash, because we bought them cheaply. I'm worried about banknotes! Everyone, tell me the truth, there wasn't a massive over-issuance this time, right?"
Everyone, look at me, and I'll look at you.
As soon as Morris saw their expressions, he knew that the banks had definitely over-issued money again.
Charlie laughed.
"Morris, don't worry. This time is different from last time. With the support of the Peony Palace, we've been able to recover a large amount of banknotes from the major foreign banks. Even if a bank run occurs, we have sufficient funds to deal with it!"
Morris thought about it and said nothing more. After all, they were just partners.
If you say too much, it will disgust them.
Ordinary people certainly had banknotes in their hands, but not many, because they paid the traders with the banknotes during the process of stockpiling goods.
Traders either deposited the banknotes in foreign companies or purchased real estate.
So, where does the money from the tenant go?
Either buy the land of Mudan Palace or stockpile raw materials.
This formed a perfect closed loop, and a large number of banknotes flowed back to the foreign banks and were cancelled!
The layout of these banking elites was indeed perfect, but they overlooked two points:
First, the real estate value of Shanghai will drop to zero!
Second, in a market with almost no regulation, the major foreign companies found that banknotes had become almost unscrupulous.
If banknotes can be used to buy houses and land, what would you do if it were you?
Therefore, 70% of the real estate in Shanghai is held by major foreign companies!
Once the property is worth nothing, their losses can be imagined.
If the war could be delayed for a week or two, more and more traders would flock to the Magic City, and the major trading companies could take the opportunity to get out of trouble.
And now, they are lambs to be slaughtered!
The reason why Charlie felt that he had sufficient cash reserves was because Hu Zhenhua deliberately avoided several leading foreign companies and did not withdraw their cash reserves.
While they were talking, the telegraph operator delivered another encrypted telegram.
Morris immediately took out the code book and translated the message himself. When the content appeared, he said aloud,
"Newtown has completed 4% of the clearance."
Cheers broke out in the conference room!
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