Rebirth 1979: Marrying a poor girl at the beginning

"Convert all the Hong Kong dollars in my account into US dollars. When the price rises to US$50.3 per ounce, open a short order for silver futures according to the market price!" said Lin Zhengjun.

A short futures order refers to an investor selling a contract in the futures market.

That is, being bearish on the future price of silver, selling futures contracts that are not yet held, hoping to buy contracts again to close the position and make a profit when the price falls in the future.

The implementation method is that investors first borrow futures contracts, then sell the contracts at the current market price, and then buy the contracts back to the original holders at a lower price when the price drops in the future to realize profits.

The profits and losses of futures short positions are related to the actual transaction prices in the market.

If the price falls, the investor makes a profit;

If the price goes up, you will suffer losses or even a margin call.

Shen Meiyi suddenly said anxiously: "Mr. Lin, I have a different opinion from you. I am bullish on the future price trend of silver."

"Your judgment has nothing to do with me! You are just a trader, just follow the plan I say!"

Lin Zhengjun said calmly: "When the price drops to $12, buy the contract and close the position!"

In fact, on March 1980, 3, the price of silver would break through $27 an ounce.

But Lin Zhengjun was still conservative. With the addition of leverage, it was enough to make a 40-fold profit with tears and blood.

What if the market does not strictly follow the historical trajectory of the previous life and there are changes?

Shen Meiyi: “…”

There are already a lot of romance novels from Hong Kong and Taiwan, but none of the type that tells the story of a domineering CEO.

Otherwise, Shen Meiyi would definitely describe Lin Zhengjun as a “domineering president”!

"Mr. Lin, I don't want to influence your attitude. I just want to hear your opinion, or in other words, I want to ask for your guidance!" Shen Meiyi said in a soothing tone.

"Go ahead and talk. I have nothing to do right now..." Lin Zhengjun yawned.

Shen Meiyi sorted out her thoughts and said, "During this period, the rise in silver futures contracts and the scarcity of physical silver in the market have made all short sellers and even exchanges feel that something is wrong."

"Some analysts said that some capital tycoons were hoarding a large number of contracts through the trading seats of multiple banks and securities firms, and at the same time hoarding a large amount of silver spot."

"Just last night, the Chicago Commodity Futures Trading Commission intervened in the investigation. They checked all the transaction records and finally found that the vast majority of the purchase orders came from an offshore company called International Metal Investment Corporation."

"This company is registered in the Bermuda Islands. The entire company holds more than 130,000 huge silver futures contracts."

Her tone was shocked: "This holding volume exceeds 50% of all contracts on the New York Stock Exchange and the Chicago Stock Exchange combined."

"After a more thorough investigation, the shareholders behind this company have also surfaced!"

"One shareholder is the famous Hunt brothers family, and the other shareholder is from the Saudi Arabian royal family in the Middle East."

After saying this, she paused, as if waiting for Lin Zhengjun to panic.

But the other party was silent, which made Shen Meiyi wonder if the call was disconnected.

After all, the communication quality of telephones is often not very good nowadays, and sudden signal interruptions often occur.

"Hello? Mr. Lin, are you listening?" Shen Meiyi asked.

"I'm listening, please continue!" Lin Zhengjun yawned.

Was his judgment on the trend of silver just a guess? It seemed like he had no idea what these two families meant.

Shen Meiyi emphasized her tone and said, “Perhaps, Mr. Lin is in the mainland, and perhaps he doesn’t know the strength of these two big families.”

"The Saudi Arabian royal family has quickly become one of the world's top wealthy families thanks to oil. Their assets are simply inestimable and can provide the Hunt family with unlimited ammunition to fight against silver shorts."

"Not to mention the Hunt family, which can be said to be one of the top and richest families in the United States. Most importantly, they all know that the Hunt brothers are geniuses in the futures market."

"As early as seven or eight years ago, they manipulated the soybean futures market and made a profit of more than hundreds of millions of dollars, becoming a legend in the futures market."

"Most importantly, they still have a large amount of silver spot. According to the investigation of the Board of Trade, they have been hoarding silver spot since 1972. It is said that all the million ounces of silver spot sold by the Mexican government were eaten by them.

"The long parties led by the Hunt brothers are not only hoarding a large number of futures contracts, but also hoarding a large amount of silver spot, and they are still buying more!"

"The Saudi Arabian royal family has abundant funds and unlimited ammunition, and the Hunt family is a long-time winner in the futures market. Therefore, after the news came out, speculators in the silver market went completely crazy."

"The long speculators holding futures contracts cheered, because everyone knew that if they followed the Hunt brothers, they would definitely make a lot of money."

"And currently all the shorts in the market have fallen into despair! Because there is no spot silver in the market, some of them stopped losses in time and turned into longs!"

“Everyone agrees that the crazy rise in silver prices is a foregone conclusion and will continue for a long time!”

After saying so much in one breath, Shen Meiyi felt dry in the mouth. She picked up the coffee cup, but found that the coffee was all gone. She couldn't help but cursed softly, "shit!"

She took a few deep breaths before asking softly, "Mr. Lin, I think my analysis is well-founded, so... do you still stick to your original opinion?"

"That's right!"

Shen Meiyi almost went crazy and cursed him for being stubborn, but she still asked patiently, "Mr. Lin, what are the reasons for your insistence on your opinion?"

"It's easy!"

Lin Zhengjun said calmly: "I think the trading committee of the exchange has intervened in the market forcefully and even changed the trading rules. For example, it has increased the margin for each contract and even only allowed the sale of silver spot or contracts, but not the purchase!"

Shen Meiyi was completely stunned when she heard this. She couldn't believe it and asked, "Mr. Lin, are you kidding?"

"Why do you say that?"

Lin Zhengjun said coldly: "Also, if you dare to be disrespectful and disrespectful to me again, I will change traders. There are a lot of rookie traders like you!"

"Mr. Lin, you misunderstood. I didn't mean to disrespect you. It's just that what you said is too unbelievable!"

Shen Meiyi was startled and said hurriedly: "The spirit of the United States is democracy and freedom. This is reflected in the capital market, where the government and the exchange do not interfere with the highly liberalized transactions in the market. For example, the salaries and equity incentives given by listed companies to professional managers, as long as they are approved by the board of directors, the China Securities Regulatory Commission will absolutely not interfere..."

"The free market is also the main reason for attracting traders to participate. After all, no one wants to spit out the meat in their mouths! What do you think, Mr. Lin?"

"Do you doubt that you have really studied finance? Are you a graduate of a professional school? You don't even understand the textbooks!"

Lin Zhengjun complained angrily: "What you said makes some sense, but no one wants to enter an unfair market where there is wanton manipulation, insider trading, and being cut at a loss all day long!"