Chapter 31 This time I beat the short seller violently
"I can't go to school and I don't reply to messages. Where did Ishigami go?"
Iino was so irritated that she scrolled up and down her phone. The page was the chat area between her and Ishigami. There were no replies to the messages she sent last night, let alone this morning.
Last night at 9.45
"Ishigami, are you home yet" (unread)
Last night 23.58
"Good night, Ishigami"(unread)
9.40am
"Ishigami, are you feeling unwell? Why did you ask for leave today?"
"Why don't you reply to me?"
Iino never thought that one day she would be so upset because someone else didn't reply to messages, let alone that person was Ishigami.
She was lying on the table, her silky brown hair a little messy, because she got up this morning and was not even in the mood to comb her hair.
Suddenly she heard her phone vibrate, and with a quick movement of her little hand, she immediately unlocked the screen, but soon she was so weak that she lay on the table again.
"No."
Just a piece of news
She was bored anyway, so she leaned on the table and clicked on the news.
"Shocking! This toy manufacturing company single-handedly fought against 8 big short sellers on Wall Street, and its stock price rose 235% that day"
The headline is so ridiculous. How could it be so outrageous? Speaking of which, Ishigami’s family must be from a toy manufacturing company. Interested Iino continued to scroll down.
As a result, I saw the first line, Wandailu Toys Co., Ltd., with an opening price of 65 US dollars and a closing price of 217.75 US dollars. The current market value is 40.2 billion US dollars. Iino's eyes suddenly widened. (Ishigami Company is set to be listed on Nasdaq) Holy shit, it’s really Ishigami’s company!
The cause of the matter was the headline that suddenly appeared in the Wall Street Journal last night. Hunqiao, the world's seventh-ranked hedge fund, announced that it would short Wandailu and produced a research report, pointing out that Wandailu's stock price was inflated and its cash flow was insufficient. Research
The cost is high and the report is 120 pages long.
For a time, various institutions responded one after another, and even the Black Bridge Research Company, owned by the eldest son of the fourth house, Huang Guang, the fourth house, also joined this gluttonous feast and wanted to take a bite of the meat.
Wandailu, which is at the cusp of the storm, is in danger. No one is optimistic about it. Some investment banks have already placed large-scale transactions at a discount of 20% or 30% before the market opened, hoping to close the deal.
Many people regret that this old toy manufacturing company is coming to the end of its lifespan. Perhaps being absorbed by other game companies will be the final outcome.
And it was Ishigami who was ordered to face the crisis and create this impossible miracle.
When he was at Iino's house, his brother called and said that the family's company had been sniped, and it was a hungry wolf from the other side of the ocean.
Ishigami is not only the chief financial officer of his family company, but also a top trader. He operates things like stock index futures.
After spending 5 minutes in the car reading the 120-page report, Ishigami felt that it was purely fabricated, especially because the research and development costs were high. How high is the cost of research and development of plastic figurines?
It was already past 8 p.m., less than 3 hours before the U.S. stock market opened. (The time zone difference is 13 hours)
This period is quite tense. Ishigami must know how many of his own company's stocks are held by short-selling institutions and how much funds are aimed at his own company. These things are very troublesome and are equivalent to the existence of the opponent's trump cards, but they must be found out.
When the market opened, the stock plummeted by 7%. Good guy, it was really killing without blood. This was mainly caused by large-scale institutional selling.
The easiest way to make a stock fall is to place a large number of sell orders to sweep away the buy orders in the market.
For a time, the bulls were directly pinned to the ground by the bears.
Simply relying on the cash flow in the hands of the company will definitely not be able to compare with those wealthy hedge funds, but Wandailu Company has a very scary advantage, that is, it has a very large number of fans.
What Ishigami wanted to do was to sell miserably. He asked Ai Li to open hundreds of thousands of small accounts and go to major forums to spread the word. If Wandailu loses this game, the consequences will be for both your former wives (figures) and the future.
My wife is gone.
How can these fans endure it? You nnd snatched my wife, right?
One of the reasons why there are few retail investors in the U.S. stock market is the high handling fees. Ishigami solved this problem by contacting several zero-commission trading platforms to divert these angry fans to buy his own company's stocks.
If the stock goes up, the fans can still buy the wife they like if they sell it. Both parties feel that there is no loss, that is, it is a bloody profit.
That night, all the fans were bragging about how many Wandai shares they had bought and how much they had contributed
Then Ishigami and another group of long-side hedge funds that smelled the smell of blood bought a large amount of stocks that were supposed to be lent to short-sides, squeezing the sellers' living space in the market.
Eventually leading to forced liquidation of short positions
Ishigami's practice is called predatory ***. He uses the restrictions on market liquidity to trap short sellers and takes the opportunity to push up the stock price. When the short sellers admit losses and close their positions because of stop losses, he is the biggest profiteer.
Ishigami's operation even allowed short sellers led by Hunqiao Fund to break Wall Street's record for the largest single-day loss.