Chapter 510 Capital Market Diverges, Longxing Capital Is Ready to Swing the Sword

It's three o'clock in the afternoon.

The Longguo stock market is closed.

Due to the huge power of the "Cloud-Piercing Arrow", international capital has completely changed its view on the military strength of the Dragon Kingdom, and has rushed into the market to buy the bottom.

You know, the previous test launches of intercontinental missiles all failed. Only Long Guo succeeded in the test launch, and it was still in the launch silo on the deck of a warship. Now no country in the world dares to say that it is safer than Long Guo.

It has a range of 12,000 kilometers, Mach 25, and can carry multiple nuclear warheads. Piecing together this information is very refreshing.

Mach 25 intercontinental missiles are almost impossible to intercept.

This means that as long as the Dragon Kingdom wants to, it can pull the whole world to see the King of Hell.

If Mao Xiong's Dead Hand System is a theoretical nuclear strike coverage, then Longguo's Dongfeng Express is a practical nuclear strike coverage.

Theoretical nuclear coverage and practical nuclear coverage, fools all know who they should not mess with.

After it was determined that Longguo was "absolutely safe", not to mention the old aristocratic capital in the West, even Angsa Capital in the United States began to look for opportunities in the Longguo stock market.

The immediate fate of international capital has caused the Longguo stock market index to set a new record in history.

The Golden Dragon Technology Index rose by 17%, of which Longxing Group rose by 140%, Kunpeng Company rose by 89%, Frontier Technology and ByteDance rose by 104% and 91% respectively, and other technology stocks were also driven up. The smallest The increase was 2%. However, because several technology companies were suspected of insider trading and financial fraud, they fell by 99.99%, dragging down the market's gains.

As for the Hang Seng Index and the Weighted Index, their increases were 15% and 14% respectively. It can be said that the Longguo stock market is now thriving and growing.

The crazy buying of international funds also brings risks, that is, a large number of junk stocks have followed the trend.

Anyone who has experienced a bull market knows that initially all stocks rise.

When it reaches a certain height, the institution will sell all its chips and let retail investors take over. The last retail investors to enter may face a loss of 50% or even higher.

The first stage of mad cow is over. If funds recognize this market, they will enter the second stage, which is to look for valuable stocks.

For example, in the U.S. stock market, the Internet bubble burst in 2000 and plummeted by 80% in three years, leaving countless retail investors bankrupt and separated from their wives. However, financial institutions and international capital still recognized the U.S. stock market.

When the "Seven Sisters of Rice Stocks" appeared on the stage of history, Rice Stocks entered the second stage, where all junk stocks were abandoned, and all retail investors and institutions unanimously speculated in leading technology stocks.

Although there was a subprime mortgage crisis and stock prices plummeted again, it only took one year for rice stocks to adjust and then continued to move upward.

This is the value bull market and the second stage of the bull market.

At this time, Xiao Gang, the head of the China Securities Regulatory Commission, stared at the market index and murmured to himself: "In eight trading days, the market index has almost doubled. This is not a good rhythm."

He underestimated the money-attracting ability brought by Longxing Group, Kunpeng Company, and Frontier Technology. Now he realized that the capital market could no longer be allowed to continue to grow wildly, and market funds must be guided to gather in leading concept stocks.

Taking history as a mirror, rice stocks have given out the secrets of the bull market for more than ten years.

There was a ready-made homework, and it was impossible for Xiao Gang to not understand it. He immediately picked up the receiver of the desk intercom phone and contacted his secretary: "Notify me to hold a seminar on the financial market."

"Okay village chief."

The phone was hung up and the secretary issued an urgent notice.

Not only Xiao Gang realized it, but the village chiefs of the Hong Kong Securities Regulatory Commission and the Baodao Securities Regulatory Commission also realized that the market funds were too crazy and were far beyond their control, and the market must be cooled down.

On the one hand, it can avoid the birth of "demon stocks", on the other hand, it can guide value investment and allow the market to get out of the long bull trend.

In addition to the securities regulatory commissions of the three places, the Longguo Foreign Exchange Administration looked at the soaring Longguo currency exchange rate and also held an emergency seminar.

Director Zhao Ge sat in the main seat and said with a serious expression: "The capital market has been too crazy recently. The massive exchange of international capital has caused our Longguo currency to skyrocket."

"Ten days ago, the ratio of U.S. dollars to Long Guo coins was 1:6.44, but just ten days later, 1 U.S. dollar could only be exchanged for 6.01 Long Guo coins, a drop of 6.68%. This level of decline is rare in history."

After briefly explaining the problem, he also expressed his concerns.

"Such a surge in Longguo currency is detrimental to export trade and affects all aspects of our Longguo market. Therefore, I seek your opinions and want to know whether we need to control the foreign exchange market. If we do, the extent of control will be about How much?"

When the question was raised, everyone in the conference room looked at each other, waiting for the winner.

About ten seconds later, a woman sitting third on the right said:

"I don't think there is a need to carry out foreign exchange controls and let the market choose freely, because now international capital has gradually recognized our Longguo market. No matter how much the exchange rate rises, we still have obvious investment advantages here."

"No no no!"

As soon as the words fell, someone immediately retorted: "Free market choices are often accompanied by capital coercion, which will increase the risk of economic crisis. Furthermore, although international capital recognizes our Dragon Country's capital market, don't forget, we still have There is import trade that needs to be taken into account.”

"That's right. We are a big trading country. If the exchange rate is too high, there will be no advantage in exporting goods."

Some people immediately agreed, but some people disagreed.

"I don't think so. If there is no price advantage, we can compete on quality. If we rashly interfere with the exchange rate, it will only be a waste of international capital to buy our Dragon Country assets!"

"If there is no price advantage for the goods, no matter how good your quality is, it will be useless. Everyone's consumption ability is different. For example, the recent Pinxixi used its price advantage to catch Taowu.com and Wang Dong's platform off guard."

"If the exchange rate is controlled, wouldn't it be a waste of international capital?"

"If there is no control, what about foreign trade?"

The debate between the two sides in the conference room became more and more intense, and the tone became heavier.

On the one hand, they want to intervene in the exchange rate, thinking that the Dragon Country currency cannot continue to rise like this, which is prone to a sharp drop in overseas orders.

Perhaps many people do not understand why the appreciation of the Dragon Country currency will hinder export commodities, nor do they understand why they cannot go the high-end route by improving quality.

In fact, this should start from the background of globalization.

In December 1991, with the announcement of the disintegration of the former bear, it also announced the official end of the US-Soviet Cold War, and a new world order will be established around the United States.

After becoming the world's largest country, the United States took the initiative to lead the global trade, trying to make all countries in the world work for the United States.

Why work for the United States?

After the United States proposed the concept of global trade at that time, it took the initiative to cut off low-end manufacturing, leaving only high-profit industries such as finance, technology, and medical care.

The cut low-end manufacturing industry was transformed into orders flowing to Longguo, Mexico, and Southeast Asian countries.

To put it bluntly, from the beginning of participating in the global trade system, Longguo positioned itself as a "low-end industry OEM".

This is a bit like the rice company, which has been taking the low-end and cheap mobile phone route since its debut.

You say you want to go high-end?

You say your mobile phone has high configuration?

Sorry!

The market doesn't buy it at all!

Countries and mobile phone brands are actually similar. If you want to break the stereotype, it can't be changed overnight.

In other people's impressions, your Longguo products must be cheap, because your Longguo products have always been the main cheapness.

...

Listening to the heated debate between the two parties in the conference room, Zhao Ge also understood one thing, that is, whether to protect import and export trade or the domestic capital market, this is a difficult problem.

Not only Zhao Ge was in a dilemma, Xiao Gang from the Securities Regulatory Commission also frowned.

At this time, in the conference room of the Imperial Capital Securities Regulatory Commission, there were also two groups of people holding different opinions.

"It has been falling for seven years, almost eight years, and now it hasn't risen much. It hasn't even reached the top of 2007. What will investors and foreign investors think if they rush to create selling pressure so quickly?"

"That's right. If the market confidence that has been built up with great difficulty is destroyed so quickly, it would be better not to launch that intercontinental missile!"

"I don't agree with your ideas. If the funds are not guided in a certain direction, it will only bury endless hidden dangers in the future!"

"It's more than hidden dangers, it's a catastrophe!"

"Oh, how can it be so exaggerated? The US stock market fell by 80% at the beginning, and trillions of US dollars of wealth evaporated, but it still rose. You are just too worried. The capital market should be liberalized and let investors and institutions choose the bottom themselves!"

"No market has ever been bullish by strict control. I'll say it directly. If you want the Dragon Country stock market to rise steadily, you must let the market choose its own direction."

There are 14 people in the conference room, and eight of them support market freedom.

The financial knowledge they learned in the past and their understanding of the market tell them that the financial market should maintain a high degree of freedom.

The reason is very simple. The financial market is a devil market.

There are many legends of getting rich overnight and being liquidated overnight.

If strict control is implemented, the financial market will lose its high risk and operability. How can you get rich overnight?

To be honest, the stockholders who get rich overnight or the investors who play futures do not make money out of thin air, but from the bloody chips of others.

The essence of the capital market is man-eat-man. It depends on who is the man-eater.

"What should I do?"

Xiao Gang was very entangled.

Not only Zhao Ge and Xiao Gang, but also the Securities and Futures Commissions in Hong Kong and Formosa also faced choices and were also discussing fiercely.

After eight consecutive days of rise, various new crises and difficulties have been exposed.

Before the discussion results, the exchange rate is not controlled, and the capital market is also allowed to grow.

The next day.

Thursday.

The Longguo stock market continued to soar.

The three major indexes rose by an average of 8%. Longxing Group once again led the way with a rise of up to 60%. More and more stockholders opened accounts and entered the market, and securities stocks also ushered in an explosive rise.

On Weibo, Douyin, and Penguin, stockholders exchanging their experiences can be seen everywhere.

[The God of the Stock Market]: "According to this momentum, the market will not stop rising unless Longxing Group corrects. This level of killer weapon is a financial atomic bomb!"

[The Poor Taoist's Dharma Name is Full Warehouse]: "The house is listed on Beike.com, the car is sold second-hand, and the wife's information is also uploaded to Jiayuan.com. Brothers, follow me into the stock market!"

[Xiao Shen Doesn't Invest in Stocks]: "Good guy, my wife is listed on Jiayuan.com, so I'll sign her up for If You Are the One. Help me to cheat some betrothal gifts. I'm going to go all-in!"

[Little Frog]: "Is it all this big? What should I do if I don't have a wife? Otherwise, I'll lend you your wife for a while, and at most I'll give you half of the money I make."

When market sentiment comes up, nothing can stop it. It is easy for a retail investor to handle it, but if there are 100 million retail investors, it is not something that financial institutions can withstand.

When Longguo's stock market soared, global assets plummeted.

Well-known global indexes such as Nasdaq, Dow Jones, S&P, Nikkei, Bombay, and Germany's DRX are all falling, and international funds are frantically exchanging cash to invest in Dragon Country.

It is worth mentioning here that if international funds want to invest in the Dragon Country market, it is impossible to invest directly in their own currency. They need to first exchange it for Dragon Country currency and then invest in the market.

According to the previous currency system, the exchange party needed to use US dollars as the intermediate currency to exchange for the currencies of other countries.

To put it simply, if you want to exchange 10,000 Longguo currency, you first need to exchange your domestic currency, such as Japanese yen and British pounds, into U.S. dollars, and then use the U.S. dollars to exchange for Longguo currency.

Under this global currency system, the status of the US dollar can be imagined.

But now with the global application of the GIANT PANDA bank settlement system, the U.S. dollar is no longer the only intermediate currency for foreign exchange exchange. The Chinese currency and the euro have become emerging intermediate currencies. The currencies of other countries can be used against the U.S. dollar, the Chinese currency and the euro. Direct exchange through GIANT PANDA bank settlement system.

The three major monetary systems centered around the U.S. dollar, the Dragon Dollar, and the Euro also represent the three major economies on earth today.

This is also the reason why the exchange rate of Longguo currency will skyrocket. The US dollar hegemony system has been gradually disintegrated.

Friday.

The tenth trading day of Longguo stock market data exchange is also the last trading day before the weekend closing.

Basically no suspense.

Continue to surge.

Longxing Group continues to come out on top.

Before the listing, Longxing Group’s subscription price was 0.71 yuan. However, in just six trading days, its stock price rose by 17.75 yuan, an increase of 2,500%. The high-quality technology stocks listed in the same batch also increased by 600%. to a terrifying level of between 1500%.

Why is it rising so wildly?

Four words.

International funding!

Don’t think that the United States is completely dependent on foreign funds.

It engages in globalized trade, and the only thing that remains at home is the financial industry.

Who holds up the U.S. financial industry?

Or international funds!

Now international funds have found a new value niche, and their security is far superior to that of the United States, which has naturally resulted in the current situation.

In such a prosperous Longguo stock market, various marketing accounts have also appeared one after another, hysterically shouting for the bull market.

"The magic power of "Nine "Yangs" has been completed, and there is no time to mourn. Now the Ten Yangs are in the air, and the Dragon Kingdom stock market has risen! 》

"Goldman Sachs upgraded the rating of Longguo's stock market and predicted that the Golden Dragon Technology Index will likely reach 10,000 points by the end of this year. After seven years, a new round of bull market has arrived! 》

"Shocking my mother for a whole year, Longxing Group rose for six consecutive trading days, with an increase of 2,500%, becoming the highest in history! 》

"I can't believe it!" Global assets are being sold off crazily by international capital. Only Dragon Kingdom’s capital market is on an upward trend in the world. Will the world’s financial center be in Dragon Kingdom in the future? 》

Under the overwhelming publicity, more and more new investors are opening accounts, wanting to keep up with the times and making a fortune.

In just ten trading days, fourteen days have passed. Even the aunt selling vegetables on the roadside greets acquaintances no longer asking "have you eaten?" but how much the stock has risen.

Under the deep stimulation of everyone's stock trading and everyone's making money, the deflationary economic state has been corrected, and the real estate, automobile, and consumer industries have all shown signs of recovery.

Not long ago, Lei Bing, who was worried that Chen Xing would suffer losses when he took over Country Garden, suddenly realized that the man had expected this day.

You thought he was on the first floor and you were on the second floor, but unfortunately he was already on the third floor.

But is this the end?

No!

In just a few days, Lei Bing realized that Chen Xing was not in the third layer, but in the atmosphere. People had expected this day.

The deflationary state of the economy has been corrected, the consumer market has been re-energized, and the sluggish real estate will usher in another rise.

It's just that it's not growing wildly, but growing towards high-quality housing.

According to what Chen Xing said at the beginning, he would use the Internet of Everything and AI technology to build a high-quality smart community, which perfectly fits the attributes of high-quality housing.

"As expected of a businessman, maybe he has already seen through the economic operation model. It is really not simple." Lei Bing sighed.

If he could have predicted today, he estimated that the debts of Country Garden and Evergrande Group would have become a hot commodity, and many consortia would want to take over them and carry out high-quality development.

But it's a pity.

Chen Xing took the first step.

Evergrande Group has also paid a "deposit" for its debts. If nothing unexpected happens, Longxing Group will be able to surpass the global real estate industry and become a well-deserved leader.

Many CEOs of real estate companies are beating their chests. If they can meet the economic recovery in advance, they will get a piece of land no matter what.

Because people in the Dragon Kingdom have a characteristic, that is, they love saving money and buying houses.

If a person from the Dragon Kingdom suddenly becomes rich, it is like winning a 5 million lottery ticket. His first reaction is not to use it to travel around the world, but what kind of house he wants to buy, and then what kind of car he wants to buy, and then what kind of car he wants to buy. To think about other things.

Even if I already have a house, it doesn't stop the thought of changing houses from springing up in my mind.

Purchasing property and houses is something engraved in the DNA of the people of Longguo. Since ancient times, having a house of your own is considered a complete home.

…

Some people are happy, and naturally some people are sad.

The sudden rise of Longguo's assets and the sudden surge in the exchange rate of Longguo currency caused many foreign exchange traders to liquidate their positions.

Anyone who has played in the foreign exchange market knows that it often has ultra-high leverage of ten times, fifty times, or even a hundred times.

If the US dollar rises by 0.1%, on their trading page, it may be a gain of 1%, 5%, or even 10%.

This round of surge has caused Longguo currency to skyrocket by 6.68%. If it is a long position with 100 times leverage, it will be a gain of 668%.

10,000 yuan becomes 66,800 yuan, and 1 million yuan becomes 6.68 million yuan!

This is the foreign exchange market, also known as the leveraged devil market.

While everyone is immersed in the rising trend of Longguo's assets, Chen Xing has set his sights on the island country's capital market.

Dragon Kingdom Deep City.

Longxing Group's Bantian base.

After finishing today's trading, Li Daxiao came to Chen Xing's office and reported the results of the past few days:

"Mr. Chen, I feel that the time is almost here. The traders on the island country think that we are using them as cash machines just like the Wall Street giants, and they have gradually relaxed their vigilance."

In the past few days, he used the teacher's strategy of crossing Chishui four times.

Virtual and real.

Real and empty.

Do you think I want to buy the stock market at the bottom and indirectly control high-quality enterprises in the island country?

Sorry, while you are hurriedly raising the stock price and collecting chips, I will throw all the low-priced chips back to you, little Baga.

After going back and forth several times, the trading team of Longxing Group has made tens of billions in profits.

Unable to distinguish their opponents' intentions, the island country's national team was completely confused, and their improvement was getting smaller and smaller.

The most important thing is that the trading team of Longxing Group has completed the manufacturing industry and moved into the financial industry, and completed the financial industry and moved into the medical industry.

Even if the Japanese national team wants to put out the fire, it will not be able to buy the entire stock market on its own.

Because of this, they have gradually relaxed their control and plan to stop with silence.

After listening to Li Daxiao's report, Chen Xing said calmly: "Don't worry, I'll give you another week to confuse them and help them pull through each section. You have to do it without making any moves. Once you make a move, you have to do it." Kill to death!"

"Do you have to be so cautious?"

Li Daxiao teased with a smile.

Although it is good to be cautious, he is afraid that his opponent will come back to his senses and become confused now, so he feels that this is the best time.

However, what he didn't know was that Chen Xing had inside information.

Saitoi of the FSA Financial Services Agency, as well as senior officials in the financial field of the island country, all sensed something unusual and held an emergency discussion meeting.

After a night of discussion, they decided to expose their flaws deliberately to see what this trading team from the Dragon Kingdom wanted to do.

If Li Daxiao reveals his purpose at this time, they will instantly use foreign exchange reserves to protect high-quality local companies.

Because the Asian financial crisis in 1997 has taught them lessons, they do not want high-quality assets to be controlled by outsiders again.

But they probably never expected that someone had already sent the contents of the meeting to Chen Xing, word for word, intact.

"It's always better to be cautious. After all, we only swing our sword once. If we are discovered, the consequences will be very serious!"

Chen Xing did not tell Li Daxiao the inside story, but he emphasized his tone.

The words "the consequences are very serious" made Li Daxiao intuitively feel that if he failed this time, he might be fired mercilessly. He quickly put away his smile and said: "Then let's study it again and try to make it as seamless as possible."

"Go ahead."

Chen Xing nodded slightly.

After Li Daxiao left the office and closed the door, he murmured to himself: "This is the key to the comprehensive upgrade of industrialization, and we must not let it slip."

If patented technology is the shackles wrapped around the body, then the production equipment is the sword of Damocles hanging above the head.

Due to changes in the international situation and the rise of China's new energy vehicle industry, German companies and Japanese companies have begun to restrict equipment exports to China.

Faced with this dilemma, Rebus had to restart the industrial chain of Ancient Elephant Kingdom.

If you want to completely solve the problem of production equipment once and for all, the best way is to turn Japanese-funded enterprises into Long-funded enterprises!