diymy Chapter 93 Foreign Dogs Withdraw Investment and Go Ashore
Chapter 93 Foreign Dogs Withdraw Investment and Go Ashore
On the seventh day of the Lunar New Year, a powerful surge occurred.
After a weekend of consolidation, the Hang Seng Index broke through the 1350-point mark immediately upon opening, surging straight to 1400 points, a breathtaking sight.
Even more alarming is that the number of stock investors has exceeded 53. According to statistics on Hong Kong's population of four million in 1970, one in eight people would be involved in stock trading.
If we exclude the elderly and children, and then average it out to every household, it wouldn't be an exaggeration to say that everyone is involved in stock trading.
however!
With the limited cash that ordinary people have, even if all stocks tripled, the returns wouldn't be enough to support them abandoning real businesses and investing in finance.
Only by using their only assets as collateral and leveraging them through bank financing can the paper returns attract all stock investors, creating a grand spectacle of nationwide stock speculation.
This creates another paradox!
Hong Kong's money supply of HK$550 billion is clearly insufficient to support the money supply needed for the general public to speculate in stocks.
However, if the HK$500 billion in foreign capital inflow is leveraged tenfold by banks to reach HK$50 billion, and then provided to shareholders in the form of loans, the supply of funds becomes understandable.
HK$550 billion in money supply…
Foreign capital inflow of HK$500 billion…
This explains why the Hang Seng Index nearly doubled in just three months.
It seems that any more than that won't work, as Hong Kong-listed companies will take the opportunity to cash out, which is equivalent to speculating in stocks and turning themselves into shareholders.
Ring ring ring…
Upon answering the phone, Li Guoneng's voice came from the other end: "Ajiang, Huoduoli is making a big move; the funds are flowing out very quickly."
"I understand, thank you!" Chen Guanjiang put down the phone, his eyes narrowing into slits.
Morgan was the first to leave!
According to the Hong Kong Monetary Authority's net capital flow model, Morgan Stanley was the first foreign investor to enter the market, but unexpectedly, it was also the first to exit.
Although both are American companies, Goldman Sachs entered the market later, making it impossible to predict the flow of funds, and there are currently no signs of withdrawal.
The Hunt family was the last to enter the market, having just fully invested in Hong Kong Antenna and driven the stock price up to HK$35 per share.
Judging from the current upward trend, the Hang Seng Index is still surging and shows no signs of weakening.
Historically, the Hang Seng Index will eventually reach a high of nearly 1800 points.
Even so, Morgan chose to leave without any hesitation, which greatly impressed Chen Guanjiang.
The top conglomerate, hailed as the "world's number one financial tycoon," is completely different from nouveau riche like the Hunt family.
Morgan Stanley clearly has a clear goal: to calmly exit the market regardless of subsequent market conditions after earning the expected income, just like an emotionless money-making machine.
It is commendable that such a style of conduct has enabled a company to stand firm in the world of finance for over a century.
Morgan Stanley's departure also reminded Chen Guanjiang that it seemed it was time for him to leave as well.
Although the Hang Seng Index will stand at its peak of 1774 points, it will plummet like an avalanche.
Without finding someone to take over the losses and without being able to secure the profits, no matter how much the paper wealth inflates now, it will eventually vanish into nothingness.
However, selling off stocks worth HK$3 million is not so easy.
In particular, Chen Guanjiang played an incompetent role as a leader in the "Jardine's Milk Drinking" incident.
Although he sent all the sheep into the tiger's mouth, many sheep were still secretly watching him.
Today's "goldfish bowl" may seem lush and beautiful, but it's actually a powder keg ready to explode. Who knows if a massive influx of stocks will trigger a panic sell-off?
Chen Guanjiang was unwilling and dared not gamble on historical inertia, and preferred to keep all controllability in his hands.
Of course, no one can control all variables, but that doesn't stop us from trying our best to do things better, especially when it comes to matters involving huge interests and lives.
Chen Guanjiang dialed an internal phone number and asked, "Are the mother and child still in Gaia?"
The receptionist on the other end of the phone replied, "Mr. Chen, Zhang's latest report says that the mother and son have bought another ferry ticket to the Malayan islands."
From Fiji to Canaan, then to Grenada, then Barbados and Jamaica, the journey finally stopped in Guyana, the only Commonwealth country in South America.
"Falkland Islands!"
Chen Guanjiang's expression tightened, and he frowned as he asked, "Have you figured out which ship it is? What time will it arrive?"
“…………”
The receptionist on the other end of the phone paused for a moment, then cautiously said, "They should have arrived an hour ago..."
"What?"
Chen Guanjiang was immediately alarmed and questioned, "Didn't I instruct you to report to me immediately if there were any developments on Zhang Xingjue's side?"
"I'm so sorry, Mr. Chen, I didn't expect this..." The receptionist, who was already feeling guilty, was almost scared to tears and apologized repeatedly.
boom! !
Chen Guanjiang hung up the phone, not in the mood to get angry. Looking at the globe on the desktop, his heart sank. He was now certain that Chen Dacai's destination was Ma Island.
The Falkland Islands, also known as the Malvinas Islands, were recognized by the United Nations as having disputed sovereignty as early as 1965.
In other words, the Falkland Islands currently belong to both England and Argentina.
Boom boom boom!
The receptionist opened the door and continued apologizing, "Mr. Chen, Mr. Zhang reports his schedule every day, and I was worried it would affect your rest, so..."
Chen Guanjiang, too lazy to argue, said coldly, "No need for further explanation. You're fired. You can leave."
"Mr. Chen..."
"go out!"
“…………”
Chen Guanjiang showed no sympathy whatsoever to the receptionist who was crying her eyes out.
In fact, even if Chen Guanjiang knew the mother and child's final destination in advance, he would not have been able to stop them.
The Falkland Islands are truly unique!
Without even needing a sampan, the mother and son can simply swim to any point in this archipelago of 776 small islands and reach Argentina's long coastline at any time.
Once they arrived in Argentina, they were out of the sphere of influence of the British Commonwealth and disappeared into the vast Latin America.
If we can't catch the person, let alone recover the money; if we can't recover the money, catching the person won't help either.
The dismissal of the receptionist was not due to incompetence or rage, but rather because Chen Guanjiang had clearly given an order to report immediately, yet the subordinate still acted on her own initiative. This was the real reason for Chen Guanjiang's anger.
If you choose to handle things gently, the same thing will happen again next time. Chen Guanjiang appreciates that employees have subjective awareness, but they cannot have any personal will in the face of absolute orders.
What's more, Chen Guanjiang had wanted to fire her for a long time!
Since the news agency went public, this girl has dressed more and more casually; the higher the stock price, the less clothing she wears.
Especially when she arrives at the company every morning, her extremely sweet and charming "Hello, President Chen" is incredibly effective at stimulating a fifteen-year-old boy facing the unresolved issues of the night before.
Even at night, I'm woken up by that voice in my dreams.
With just a snap of his fingers, he could get what he wanted, but Chen Guanjiang didn't want to waste his first kill on the receptionist.
Of course, the most important thing right now is to find the mother and child again and confirm where the stolen money from the antenna company went.
However, Chen Guanjiang had no ability to trace their past. The Chinese families he knew could at most influence Europe, America and Southeast Asia, and the Falkland Islands were not even far from Antarctica.
After much deliberation, Chen Guanjiang set his sights on Henry Keswick. The Jardine Matheson Group's primary industries are spread all over the world, and it was bound to have investments in Argentina, a country primarily based on agriculture and animal husbandry.
I figure Henry Keswick would help me, after all, the cattle farm hasn't been taken over yet, and the 36.96 Hongkong Land shares I borrowed haven't been repaid. The one who owes money is always the boss!