America's Road To Wealth Chapter 156

  Chapter 156 Wall Street Daily

   After the phone call.

  Abel stood up silently, and he walked to the wine cabinet next to his office.

  The wine cabinet and the wine in the wine cabinet were all prepared by Merio.

   There were about a dozen bottles of red wine and five or six bottles of foreign wine in it, and Abel randomly picked a bottle that fit his eye.

   After taking it out, I found that it was a bottle of Margaux Pavilion Blanc.

  Opening the red wine, he poured himself a glass of Margaux Blanc.

  Chateau Margaux is a well-known 1855 First Growth, and its white wine brewing history can be traced back to the end of the 17th century.

  In the 19th century, the wine was sold under the name of "Margaux Sauvignon Blanc", and it was not renamed "Margaux Blanc Pavilion" until the 1920s.

  Abel doesn't like to drink, so he just took a sip of the thousand-dollar premium Margaux Blanche and put it beside him.

   Then he came to the trading room on the third floor, and his appearance made the traders who had been here for almost a week cheer.

  David Mellon rushed over, and Abel noticed that the whites of his eyes were bloodshot, and his pupils were slightly dilated.

  David had an excited expression and said to him excitedly: "Look at the trend chart, look at the latest trend chart!"

  Abel smiled, and under the gaze of hundreds of people, he came to the market quotation wall composed of screens.

  Abel saw the trend chart of GBP/USD, and the daily chart of GBP/USD is a super big Yang line.

   It is still on the rise.

   And there is still a small tail dragging below.

   Clearly the GBP/USD bulls were on a huge dose of drugs today.

   Abel knew this, so naturally he would not be as excited as David.

  He spoke calmly:

   "David, tell me about the exchange rate between the pound and the pound from yesterday to today."

  David stood up straight, and said excitedly: "Boss, this is a day when the exchange rate of the pound sterling is skyrocketing!"

   "Boss, in the European market yesterday, the U.S. dollar index fluctuated and went down. Now the U.S. dollar index is around 80.55."

   "And during the period, investors' attention is undoubtedly focused on the Bank of England's quarterly inflation report."

   "In the end, the Bank of England did not revise the unemployment rate hike threshold as expected by some market participants, but instead raised the country's economic expectations in the report."

   "Affected by this risk event, GBP/USD soared hundreds of points in the short term, hitting a two-week high of 1.4647!"

   "Subsequently, the Bank of England also raised its GDP growth forecast for the UK in 2000 from 2.8% to 3.4%."

   "The UK GDP growth forecast was raised from 2.3% to 2.7% in 2001, and the GDP growth rate in the fourth quarter of 2000 is expected to be 0.9%."

  Abel nodded in satisfaction.

  This is the Bank of England, bragging about speeding up its own currency!

  It was also during this period that the **** stirrer did indeed have a certain amount of economic strength.

  As one of the global financial centers, this kind of financial virtual power is quite advantageous in this respect.

   Let's look at Sister Lizhi's magical operation more than 20 years later.

   A feint will immediately make the pound less valuable than the dollar.

  Let the pound become one of the fastest depreciating international currencies within that year.

  This time is not that time, the shit-stirring stick at this time, although the national strength has already been reduced.

  However, its financial strength and influence are relatively stable.

   It was less than two hours after the market opened today.

   GBP/USD soared more than 50 points in the short term, refreshing a two-week high of 1.4647.

   British bond futures fell by more than 20 ticks, and the yield gap between 10-year British bonds and comparable German bonds widened by 2 basis points to 110.2 basis points, the highest since February 28 this year; short-term sterling interest rate futures expanded their declines.

   But these .

   are all analyzed by David and Wall Street elites.

   Put it on Abel, he doesn't have to be so troublesome at all.

  He directly ordered: "Today, you keep an eye on the trend chart of the British pound currency exchange rate."

   "Just today, ready to close positions at any time."

   GBP/USD is so strong that it has been rising sharply for several days in a row.

  The market is generally optimistic, and bulls continue to enter the market.

   But talent told Abel that it was time to get ready to leave.

   If he doesn't leave the field, there will be pits waiting for him to jump.

  Now he is leaving the field, that is, he ran away before the digging of the manhole in front began.

  The pit in front, only those who can't see clearly can be pitted.

  After the order was given, Abel asked again: "How much is the total profit against the British pound currency?"

"yes!"

  David was emotional, and he also knew that Abel liked to hear the end result.

  David said directly: "Currently, there is a total floating surplus of 6.856 billion U.S. dollars!"

  This time, the account funds of 10 billion US dollars, after many days of hard work, have already made nearly 70% of the profit!

  The bigger the capital, the harder it is to double it. Every time the floating profit exceeds 30%, it is a very good record. I didn't expect them to be able to achieve such a floating profit!

  Soros sniped the pound in 1991, busy planning for more than a month.

   After running before and after running, willing to be a **** of Wall Street.

  In the end, Wall Street got the big head, and Soros, the sword that was placed in front, only got 2 billion US dollars.

   This is not his personal income, his personal income is only 650 million US dollars.

  On this level of profitability.

  Wall Street was blown to the sky that year, and also topped the "Financial World" magazine's Wall Street income list.

now what?

  David now feels that even if the position is closed at this time, some profits will be withdrawn.

  Smith Capital can also make a profit of more than five billion U.S. dollars in this transaction.

   Isn't that more than Soros?

  Although it was almost ten years later, after years of inflation.

  The purchasing power of five billion U.S. dollars is a bit worse than it was then.

  But these investments are all from Smith Capital!

  Even if part of it is private placement, a large part of the profit is from Smith Capital!

  In the end, Smith Capital's earnings exceeded $4 billion no matter what.

  The $4 billion in 2000 is worth more than the $650 million in 1991!

  David felt that Abel was the only one Wall Street should brag about!

   At noon, the pound sterling currency pair jumped again.

  In the eyes of normal investors, most investors will be very excited and insist on holding.

  But on Smith Capital's side, Abel has officially issued an order to close the position for many days.

  Even if he hesitated, David Mellon carried it out without any hesitation.

  Nowadays, the pound-to-peer currency has risen sharply, but it is becoming more and more disturbing, because things will go against each other!

   After a while, David yelled into the microphone, causing many traders in the trading room to start operating.

  With such a large amount of funds and so many accounts, it is absolutely impossible to close positions within a day or two.

  The time to close a position normally takes several days.

  If the market is unstable or bad, it may last for half a month or even longer.

  Many large-capital investors in the foreign exchange market often experience profit retracement when they close their positions.

   I should have earned 100 yuan, but in the end it often happens that only fifty or sixty yuan are left.

  Because during the closing time, sometimes the profit retracement is faster than the rise.

  So in foreign exchange transactions.

   Most of them are not good at choosing to close positions when the profits are at their peak.

  Because after the peak, there is a retracement and decline.

  The one who chooses to close the position at the top often earns the least in the end.

  If the market is violent, it may even directly change from floating profit to floating loss.

   This is also a common thing.

   Just in the afternoon, the latest economic data from the United States was released.

  The monthly rate of the U.S. import price index in October:

  previous value 2,

   expected 2.1,

   published value -0.1

   As soon as this data is released.

   Immediately began to be negative for the dollar, and in turn, the GBP/USD, which was already on fire, became stronger.

   GBP/USD rose uncontrollably again.

  Abel immediately said to David: "Let traders increase the number of liquidation positions for each account operated."

  The market is better now, and more heads will enter the market.

   There are also many short positions that stop losses and close positions, and there are a lot of buying orders in the market.

  It happens to be able to hedge against the order of Smith Capital's closing position, so as to avoid such things as profit retracement as much as possible.

  This black swan incident also made Smith Capital, which had been at least a week or so away from the market completely.

   The speed of leaving the field has been accelerated several times.

  Frantic liquidation of positions, the result is to a certain extent, suppressed the rise of the British pound against currencies.

   But the situation will not be so simple.

   "Talent" made Abel leave the field at this time.

   Which means, it's the right thing to do.

   Half an hour later, another new U.S. economic data came out.

  The monthly rate of industrial output in the United States in October:

  Previous value 2.

   Predicted value 2.

   Published value -0.3.

  Same as the previous monthly rate of the US import price index, this data is once again negative for the dollar.

  Because Smith Company closed its positions with some capital and left the market, the sterling currency pair, which was slightly suppressed, gained help again.

  In addition, at this moment, there are also many shorts in the market who have stopped their losses.

   GBP/USD was further pushed up, rising from 14700 to 14740, a total increase of 40 points in half an hour.

  The traders of Smith Capital naturally closed their positions frantically again.

   Such a good opportunity to leave the field at a high position can only be encountered once or twice at most.

  I don't know what's wrong today, I've already been here twice.

  For Smith Capital's capital departure, it is accelerating, and there is another acceleration, which is about to become super accelerated.

  The result was the rise of GBP/USD, which was soon suppressed by Smith Capital's frenzied increase in the number of liquidated positions.

   GBP/USD began to fluctuate at a high speed in the range of 20 points from 14740 to 14760.

   After half an hour, GBP/USD fell all the way, and finally fell to the 14705 position.

  David was a little nervous at this time.

  He found Abel: "Boss, should we reduce the number of lots to close positions now?"

  Smith Capital unscrupulously closed the number of positions, causing the selling orders in the market to completely exceed the buying orders in the market.

   Let GBP/USD turn around and go all the way down.

In this situation.

  Smith Capital closed its long position, which is equivalent to shorting the market.

  How many long positions are liquidated means how many more selling orders are made in the market.

  The person who received the order, seeing this situation, would also murmur in his heart, be careful that it will start to fall, and start to reduce the number of positions closed.

  At this moment, David became more and more nervous.

   I am afraid that if Smith Capital continues to close positions, the GBP/USD may plummet.

  After all, it is easy to enter large funds, but it is very difficult to liquidate them.

   Right now they've only tied a million hands, with three-quarters of the field left.

   And this is already a crazy speed.

  Under normal circumstances, so much money has to leave the market, and it will take at least two days to maintain profits.

   And from today to now, it has only been carried out for about two hours!

  After hearing David's words, Abel pondered for a while, and said, "Slow down, but continue to close the position."

   “Waiting for the next U.S. economic data.”

  "If the data is bad, we will continue to increase and close positions. If the data is very good, we will continue to increase and close positions."

   “Don't worry about GBP/USD crashing.”

   Talent told him that no such thing happened.

   Soon the initial value of the University of Michigan's consumer confidence index for November in the United States came out.

  Previous value 822

  Predicted value 832

   Published value 802.

   This data is very poor, which is once again bearish for the dollar and bullish for GBP/USD.

   GBP/USD rose sharply again at 14705.

   But this time, its rising momentum seems a bit unstoppable.

   Within an hour, it went from 14705 to 14790, and it was about to break through the high of 14800.

   At this time in Manhattan, No. 3 International Finance Center, Merrill Lynch's headquarters.

   Stanley O'Neill, one of the presidents who has emptied much of CEO David Komansky's power, is speaking with the company's chief financial officer, Charlie Schaff.

  The dialogue took place in the trading hall of the International Foreign Exchange Investment Department of Merrill Lynch Securities.

  Across the glass wall of the office, Stanley O'Neill looked at the nervous traders outside.

   While looking back at the specially marked, the latest real-time pound sterling currency exchange market.

   "It's been half an hour? Haven't found it yet? Charlie?" Stanley O'Neill suddenly looked behind him, who was operating a computer to communicate with the company.

  Merrill Lynch CFO wiped the sweat off his face and said loudly:

   "It's been found out! It's basically confirmed that the smasher in the market should be Smith Capital!"

  "They were long before, but now they are closing their positions. The liquidation is very strong, and they have become a short position in a certain sense."

  Currently the most powerful black man on Wall Street, Stanley O'Neill frowned:

   "It really is them? With so many liquidation orders, this guy's investment in the foreign exchange market this time seems to be a lot of money."

   "It must be big." Charlie Schaff said: "Just through our Merrill Lynch funds, there are as many as a billion dollars!"

   Stanley O'Neill couldn't help shaking his head, "Then he chooses to close the position at this time, that's really not a good idea."

  The reason why the black president said this is because of being one of the giants of Wall Street.

  Merrill Lynch and other giants have already obtained inside information early.

   That is the economic data related to the United States released within these two or three days.

   All bearish for the dollar.

   Conversely, that is to say, it will benefit those slightly stronger world-class currencies.

   Mainly the pound sterling, the euro and the yen. .

  These currencies are all set to rise on the back of these data.

  Smith Capital chooses to close the position at this time, and will lose this part of the rising profit.

   Stanley O'Neill spoke again: "Charlie, tell me, the company's analysts, the three-day forecast value for GBP/USD."

  Charlie Scharf glanced down at the computer screen, and immediately replied:

   "The data is around 14830! It is similar to the current real-time data, but there will be multiple rises and retracements in the process. Of course, these are all predictions."

   "Of course I know it's all predictions." Stanley O'Neill nodded arrogantly.

   "Charlie, I think we should increase our entry next. The pound obviously has room to rise. You must know that at the beginning of this year, it once exceeded 16,500."

  Charlie Schaff hesitated a little, because the chief financial officer of Merrill Lynch highly admired Smith Capital in his heart.

  Smith Capital is now closing positions

  However, he is only the chief financial officer and has little power in this area.

   And Stanley O'Neill is currently the most powerful president of the company.

   He is deeply trusted by the board of directors, and even David Komansky, the real CEO, is almost being emptied by him.

   What can Charlie Schaff say.

  He had no choice but to say: "I trust your judgment, Mr. O'Neill."

   Stanley O'Neill nodded, picked up the phone on the table next to him, and dialed an internal communication.

   "I'm Stanley O'Neill. The dollar is currently bearish. I think we should buy long sterling currency pairs and short dollar currency pairs!"

   "Increase the amount of funds again, the amount is 1 billion US dollars. Just use the funds in the 136th high-value fund and Merrill Lynch money fund account."

   "Leverage? We don't take risks. No leverage."

   After issuing this order, Stanley O'Neill began to pay attention to the market again.

  He found that it only took a while.

   It's just that the pound is exchanged for the dollar. The data has risen from 14810 to 14830, and it fluctuates rapidly between 14830 and 14850.

  The black president nodded in satisfaction. He felt that Merrill Lynch should be able to earn at least a few hundred million dollars this time.

  This is a rare big market.

  Merrill Lynch missed the international crude oil and pound market at the beginning of this year.

  In this pound market and dollar market, you can't miss it anymore.

  Charlie Scharf disagreed a bit, but he was fine.

   After all, something really happened, and it has little to do with him as the chief financial officer.

   Stanley O'Neill has a strong waist, and he can fully support anything that happens.

   And there are not many Wall Street giants who make judgments like Stanley O'Neill.

  They, like Merrill Lynch, can get inside information that small and medium investors can't get.

   Those data that are bad for the dollar, many times, some of them are provided by them.

   They can even adjust the timing of these economic data releases.

   Actually, everyone started to act again two days ago.

  Otherwise, the price of GBP-based currencies would not have been pushed to such a high level.

   It's not just Merrill Lynch in action.

  Goldman Sachs, Mellon, Wells Fargo, Citigroup. Everyone is in action.

   They spent more money than what Smith Capital wanted to play.

  It was evening.

   When Abe left the Smith Building.

   GBP/USD stabilized around 14840.

  Smith Capital's 4 million more orders are also at a crazy and unprecedented speed.

   Closed 2 million lots.

  The profit is half of the hand.

  (end of this chapter)

Chapter end