695 Lure the Wolf of Wall Street in and kill him (4k)
Chapter 697: Lure the Wolf of Wall Street into killing him (4k)
Penguin was shorted, Chinaland solemnly warned.
With reports from American finance, technology, and related media, it has become known throughout the United States, and public opinion has risen to a new level.
Twitter, Facebook, YouTube and other online channels are all paying close attention. No one thought that Penguin just lost the agency rights of "World of Warcraft" and would be watched by the wolves of Wall Street.
Just like in his previous life, Ding Sanshi thought about it for three days and three nights, and couldn't understand how Blizzard dared to break away from NetEase. Lu Fei was the same, and he couldn't understand that there were so many fat sheep in Europe that they wanted to short-change penguins instead of slaughtering them.
For two consecutive days, there was a fight between bulls and bears of varying intensity.
At the $30 mark, there were many fights, but except for John Paulson who supported Lu Fei, Buffett, Bill Gates and a bunch of old friends seemed to stand by and watch the hungry wolves on Wall Street surrounding and killing Penguin, and the stock price fell to 3%.
A 4% drop.
The bulls are weak on their own, and the bears are getting stronger and stronger, just like a dam storing floods, with faint signs of bursting and causing a flood.
The topic of Penguin has become one of the hottest topics on Reddit, especially in "Wall Street Casino", a section dedicated to discussing stocks. The netizens there are basically a group of gamblers who are addicted to stocks and options, and most of them love games.
Young otakus treat the stock market as a casino and always want to get rich overnight.
The slogans shouted are, You Only Live Once.
In other words, if you win, you will be a young model in the club, if you lose, you will work in the sea.
The leeks inside tease each other that they are mentally retarded, and their investment style is very radical. Not only do they like stud, but they also use leverage when they get into trouble. The picture is like "a bicycle turns into a motorcycle".
"quadra kill!"
Jason played League of Legends to his heart's content and hurriedly logged off. There was still half an hour before the U.S. stock market opened. He habitually posted on the "Wall Street Casino" section. The section was filled with all kinds of gossip, inside information, and posts posted by netizens.
's transcript.
At least a 5 percentage point gain, otherwise you won’t be able to post pictures.
In addition, there are also posts by angry youths expressing their sentiments, "exposing the subprime mortgage conspiracy" and "bringing down Wall Street"...
Just like China Leeks angrily criticized A-shares, American investors also hated Wall Street after the subprime mortgage crisis, especially because Lucian failed to fulfill his promise of tax cuts, otherwise——
Nor will "Occupy Wall Street" break out later.
At this time, the dissatisfaction is gone, but the person who talks the most seems to be the penguin. Should he follow the short sellers and chase the penguins, or support the bulls? Without the courage, where will the production come from!
The two factions are at each other's throats, with most of them supporting the short side.
[I admit that Huaxia Continent is very rich, but no matter how rich it is, can it compare with the dozens of short-selling funds on Wall Street? Penguin, I just want to be bearish, and Jesus can’t stop me, I said so! There are pictures to prove it!]
[Who is Huaxia Lu? He is the god of stocks! He is the god of investment! He is the top three richest man in the world! How could he lose? 】
[If Huaxia Lu wasn’t scared, there would be no need for warning at all. Those who wanted to deal with the short sellers would have been dealt with long ago. Why let them go? Just because they can’t be dealt with, they can only talk about it.]
[I support Penguin. I’m holding Penguin’s stock right now but won’t sell it. I believe Huaxia Land will definitely make some moves]
【……】
Jason browsed a few pages, typed on the keyboard, and asked a question: Obviously the short sellers have made profits now, why don't they close their positions, but the overall position is still so high?
Soon, someone who is a good teacher will give you guidance.
The reason is simple, taxes.
If a short-selling institution borrows a share of stock and sells it for US$100, according to the securities lending agreement, the short seller must provide a margin of US$102, of which US$100 is the money for selling the stock.
2 dollars is yours.
Because the stock price keeps changing, the amount of the margin is also changing at any time. If the stock price soars to $200 at this time, then the short seller must add a margin of $102. But if the stock price drops to $1, the margin will be
if--
It only costs $02.
In this way, the short seller can get a refund of the $98 margin. Therefore, the short seller has actually made a small profit, but he feels that he has not earned enough.
Therefore, if we continue to rush, fight, and wave violently, Penguin's stock price must remain in a relatively depressed state, such as $20 per share. At that time, we can directly close the position and make a huge profit.
As usual, the New York Stock Exchange regularly publishes short position data on the exchange. Penguin's current short position has exceeded 6% and is headed straight for 10%. It is all calculated.
"Do you want to give it a try?"
Jason looked at the time and saw that it was one minute before the opening of the market, and he couldn't help but fall into deep thinking.
As a player who practices both LOL and Dota2, I have all kinds of hero skins and limited skins in LOL. I have even prepared my wallet and spent money to buy S1 champion skins. I really feel that League of Legends is no worse than World of Warcraft.
And I firmly believe that Huaxia Continent will never sit idly by.
Otherwise, he would not be the "Iron Man" he admires!
After the market officially opened, Penguin's stock price had just improved a little and raised its head slightly. It was immediately attacked by short sellers and fell below the $30 mark for the first time, and it was still falling.
Seeing that the leeks in the "Wall Street Casino" couldn't wait to follow the investment, they couldn't get the bonds, so they bought put options. Looking at the posture, it seemed that they were going to knock Penguin below 25 US dollars per share.
But unexpectedly, the stock price fluctuated up and down.
The bulls are in!
"Is it Huaxia Continent? It should be Huaxia Continent, right?"
Jason hesitated and stared at the trend chart for more than an hour. The fierce offensive of the short sellers was thwarted, and the bulls actually held on to the defense line of $29, and there were signs of a pushback.
"It can't be wrong! It must be Huaxia Continent!"
Jason's eyes flashed with greed, and he finally made up his mind and took out 50,000 US dollars. Not only did he buy Penguin stock at a price of 24 US dollars, he also bought call options, super doubling.
After a while, in the long-short game, a foreign aid suddenly appeared. Like Lu Fei and John Paulson, Michael Berry, one of the big winners from the subprime mortgage crisis, appeared on the scene.
But surprisingly, he did not go short, but bought 1% of Penguin's shares to support the bulls. He also announced his operation on Twitter, and the reason he gave was very simple -
I am optimistic about the steam game platform invested by Penguin and its self-operated YouTube, and the 2009 annual report is perfect.
There is no bubble in the stock price, it is just malicious short selling.
With Michael Berry's support, Penguin's stock price rose instead of falling, from $29 back to the $30 mark.
Although it only increased by $1, the yield on the stock and the call option were completely different, with a difference of 4 times.
"The bet was right, hahaha!"
Jason was excited and nervous, staring at Penguin's trend chart. After counterattacking up to 30 US dollars, the short position showed a little lack of stamina, so he retreated to the high point of 31 US dollars, and his hands changed hands several times.
Finally, during the lunch break, we occupied the 31-dollar high point.
Jason immediately switched to Reddit and saw that there were already "stock gods" who were bullish on Penguin like him and posted their accounts and profits. Not to be outdone, he took screenshots to show off his results.
In the post, thank you Lu Fei and thank you Berry.
However, below the post, in addition to sporadic blessings, people were either envious or sarcastic, thinking that the short seller would definitely come back, and the attack would be more fierce, and Penguin's stock price would fall back sooner or later, and advised him to close his position as soon as possible.
But Jason didn't do that and held the penguin tightly.
Echoing in my ears, when others clear their positions, I fill them up, when others cut their stocks, I buy the bottom, when others are afraid, I am greedy. In short, there is one sentence——
If you stick to it firmly, you will make a fortune!
"Lu, Berry has entered the stage."
In the restaurant, John Paulson cuts a steak.
"He was really willing to help. I thought it would be good if he didn't cause trouble and didn't join the short camp."
Lu Fei shook his wine glass and raised the corners of his mouth.
"This can be regarded as a reward for us inviting him to join in shorting Greek debt. Moreover, in the prototype of "The Big Short" produced by your film company, in addition to me, he was also included."
John Paulson bites off a piece of meat.
"what did you just say?"
"I mean, Berry is doing this to return a favor to us..."
"No, no, no, the second part."
"Didn't you make a movie based on him and me? But seriously, when can we see the finished film?"
"Well, John, three Q."
"Thank me? What are you thanking me for?"
"Hey, thank you for everything."
Lu Fei narrowed his eyes, "But I won't thank you, Berry. This favor is not so easy to repay. Soon he will realize how wise this investment is."
Under John Paulson's puzzled gaze, he turned to ask Carlson Bullock about the public opinions on the rise of Penguin's stock price on Reddit, Twitter, Facebook and other media, especially Reddit.
The reply I received was to watch the fire from the other side.
Although many YouTubers, reddit posters and Twitter KOLs have made a fortune with their fans during this short-term rise, most American leeks are still in a wait-and-see mode.
Only when the situation of the long-short struggle becomes clear can we end the game.
"Understood, whoever wins will be helped."
Lu Fei took a sip of wine and smacked his lips.
"Lu, do you really expect to rely on those stupid and short-sighted investors to help you deal with so many short-selling institutions?" John Paulson asked.
"At least we can't let them go to the short side."
Lu Fei smiled and said: "And John, don't underestimate the power of the people. I can defeat Goldman Sachs in gold futures only because of the people of China."
"I know, Chinese aunt!" said John Paulson.
"Yes, this time I want to let those short-selling penguin funds have a taste of what it's like to fall into the vast ocean of the people!"
Lu Fei has already thought of a plan, just like the "GameStop" in his previous life, where Leeks teamed up to attack Wall Street, and completely aroused the anger of investors against Wall Street because of subprime mortgages.
"Then we must flex our muscles. Only if we continue to increase the stock price and let them see hope and taste the sweetness, will they follow us and fight back hard against the short sellers."
"We have ample ammunition reserves."
"Yes, the return on investment in gold derivatives is no less than that on subprime mortgages. In addition to investments in European debt, the Hang Seng Index, etc., at least 4 billion U.S. dollars can be spent, which is enough to cover most of Penguin's outstanding shares on the market.
Buy it."
“It’s like Porsche shorting Volkswagen, right?”
Lu Fei narrowed his eyes.
"Don't tell me you don't think so."
John Paulson looked at him and said, "These short-selling funds have no idea what will happen if they provoke us!"
"Don't worry, just play with them."
"Lu, they are not worth playing with."
"If you want to play, you must play! If you don't play, how can these funds invest more money? If you don't invest money, how can you turn a small battle into a big one and attract large institutions hidden behind the scenes to follow the investment? If you don't follow the investment, we will be again
How can you make a huge sum of money at once?"
Lu Fei's eyes flashed fiercely.
John Paulson pondered for a long time, "That is equivalent to using penguins as the battlefield and another long-short game like 'subprime mortgage'."
Then he nodded, "We can do it, but it's not enough for us and Berry alone. We're afraid that Goldman Sachs and others will turn their backs and deny their credit, or come up with some dirty plot, otherwise..."
"We really have to guard against outside moves, so we have to continue our previous style of play and need to hire some heavyweight foreign aid."
Lu Fei remembers Wall Street's "pull out the Internet cable" routine.
This time, I have already planned to invite Buffett, the "stock gods" on Capitol Hill, BlackRock, Blackstone, and even the tycoons of the Middle Eastern royal family. After all, the wrongs have their own ends and the debts have their owners.
Wall Street is behind Dubai's debt crisis.
Don’t rich people want to take revenge?
During the meal, Lu Fei and John Paulson re-formulated a new combat plan and divided the work between each other. Carlson Bullock cooperated with John Paulson in operations, while he and Xu Xin were responsible for diplomacy.
Subsequently, we immediately contacted major shareholders and institutional investors such as MIH and Bill Gates, and each of them swore that they would never dismantle the company at this time and would not sell it to the outside world.
For Penguins, this will be extremely bad news.
It is also a huge loss for them.
As for Buffett, in addition to making phone calls, Lu Fei also took Xu Xin to meet him face to face. Not only did he get a promise to protect the market, but he also used his villa to cover himself.
I met secretly with BlackRock and Blackstone successively.
There is only one theme——
The wealthy gentry's money will be returned in full, let's divide the short-term knives!
They were very interested in this combat plan, and even more interested in the results of the victory. They agreed not to add insult to injury during the multi-air fighting phase, and provided all assistance except help.
After all, sitting on the sidelines is the greatest help to penguins.
"A Fei, if we lose the competition with the short sellers, do you believe that they will definitely follow the short sellers and bite us back?"
Xu Xin followed Lu Fei and left Buffett's mansion.
"So, we must fight well and win the first battle."
Lu Fei disagreed, "How is the situation now?"
"Carlson said that the short sellers are attacking on multiple fronts. They are badmouthing Penguin on financial programs and raising their short positions. The second wave of offensive seems to be to drive the stock price below $30."
Xu Xin took out her mobile phone and pulled out the message.
"Tell John and Carlson that you can give them the $30 or even $28 mark, otherwise it will be impossible to get into the pocket formation, but don't let it be too obvious, pull!"
Lu Fei looked sideways, "Who will I see next?"
"Bai Dengqiao has helped us make an appointment with the chairman of the American Securities Depository and Clearing Corporation. Let's have a casual dinner tomorrow night."
Xu Xin glanced at it.
"Then let's go!"
Lu Fei put down his words and headed to the airport.
Just when he was gathering strength for the upcoming war, short sellers were having a complete carnival, and the short position in Penguin stock soared from US$7.8 billion to US$2.2 billion.
It seems to account for 8% of Penguin’s total share capital!
It will soon reach 9%, and the battle is in a stalemate.
At this time, the news that Wall Street formed a group to short-sell Penguin gradually spread back to the mainland and to Hong Kong.