NOVEL SIMPLE Chapter 313
Chapter 313 Decisive Battle To Come
United States, Metropolis
“This group of dogs that deserve to go to hell @mother, they can’t be honest, FUXX, FUXX!!!”
Melvin Capital boss Plotkin was furious in his office.
He slammed around with the decorations on his desk.
The secretary was shivering and hid outside the office at this time. Only the director of Melvin Capital stood in the office, bowing his head and daring to speak. “Mr. Director, tell me, what the hell is going on? Didn’t you say I’m safe? Then you say what’s going on now!” “…Why did GME’s share price rise to more than a hundred dollars, what do you say? , what the hell is going on!”
At this time, Plotkin’s eyes were bloodshot, and he yelled at his supervisor.
But if you look closely, Plotkin’s eyes are full of deep fear.
The so-called short-selling is to borrow stocks from a brokerage first, and agree with the brokerage to return the stock at a certain time.
So shorting is actually the belief that the price of a stock is false and will plummet in the future, and then there is the act of shorting.
The short-selling income is the difference between the original value of the stock and the value after the fall minus the broker’s service fee and interest.
Theoretically speaking, the highest return of shorting is about 100%.
Compared to doing long, this yield is actually not very high.
But there is an advantage to shorting, that is, the speed is fast enough, and it is an act that can make you rich overnight.
When Melvin Capital was short, GME’s stock price was around $20.
Today, GME shares are trading above $100.
This is equivalent to a huge loss of $80 for every share that Melvin Capital shorts.
And looking at the current trend of GME’s stock price, when the agreement expires, it may not only have a stock price of $100, but may even reach 200 or higher.
Don’t look at Melvin Capital’s total assets of $12 billion, but these are just assets.
If it is true that the short-selling has made a huge loss to the present amount, the entire company is likely to go bankrupt.
“Mr. Plotkin, this… I didn’t expect it either.”
Melvin’s supervisor was in tears at this time.
It’s true that these leeks of the United States don’t talk about martial arts.
In the past, these chives were honestly harvested, why are they jumping up and resisting today?
And it happened to be resisting when Melvin Capital went short.
It’s good now, the entire Melvin Capital is almost losing to the end @Pants will lose.
What happened now made this supervisor completely dumbfounded. No matter how much he analyzed the stock market, he couldn’t analyze the riots of this group of chives.
The only good thing is that he is only a supervisor who works with money. Even if the company loses money and goes bankrupt this time, it will be the bankruptcy of the boss, and it has little to do with him.
At most, his executive won’t get any bonuses, and he may even leave Wall Street in vain.
After all, who else on Wall Street would dare to use a person who could bankrupt a fund with $12 billion in capital?
Even if everyone knew that this matter had nothing to do with him, and didn’t blame him at all, no one liked such unlucky people.
“Mr. Plotkin, what should we do now’”?”
The director of Melvin Capital asked cautiously.
Plotkin stood up, pacing where he was, looking anxious.
He has just spent fifty million dollars decorating his ultra-luxury manor. If the company goes bankrupt, his manor will have to be mortgaged.
And the lost manor is not worth so much money!
“You go to the rafters and other agencies that have shorted GME and tell them we have to unite at this time.”
“…I remember that group of dogs @Niangzhi used the brokerage ‘Robin Hood’ to buy stocks?”
Plotkin asked now.
“Yes sir, many retail investors use it to buy stocks and options because this brokerage has no fees.”
The director of Melvin Capital wiped the sweat from his forehead and said.
“Very good, when the time comes, we will join forces with Xiang Ran and the others, and we will jointly exert pressure to let this brokerage stop buying GME stocks, and we cannot let retail investors continue to do more.”
Plotkin also understood that when a stock tumbled, it caused a chain reaction.
At the same time, when a stock rises wildly, it will also cause a chain reaction.
Now that group of retail investors have gone crazy, they have completely disobeyed the basic process of stocks, and they are already irrationally heavy positions.
In this case, these short-selling institutions must do one thing, and that is to pour a pot of cold water on the heads of these retail investors to calm them down
down.
“No, that’s not enough. Even if there is no ‘Robin Hood’, they can also use other brokers to buy.”
“…This time involves the life and death of our company and the losses of many other short-sellers, so this time we have to unite.”
“Find an excuse to say that there is a problem with the GME stock and it needs to be investigated. It is best to completely ban the trading of this stock!”
Plotkin was ruthless, and came up with a trick.
This time, he is not going to hide it, and directly use administrative and physical means to solve the problem.
When Director Melvin heard Plotkin’s words, his heart sank, and he felt a moment of silence for those retail investors.
It can only be said that these Wall Street institutions are even more unethical.
Since I have lost money, since I have become Jiulai to be harvested by you retail investors, then we will directly unplug your network cable!
These Wall Street institutions have a very good relationship with major brokerages, and they are even more ambiguous with institutions such as the China Securities Regulatory Commission.
Don’t you see the 2008 crisis, which was created by this group of Wall Street institutions, but in the end the United States had to rescue the market and had to give Wall Street money.
It is indeed Wall Street as the financial symbol of the United States, and there must be no problem with it.
Because there is a problem on Wall Street, there is a problem in the United States as a whole.
It is precisely because of this that these vampires on Wall Street can be confident.
“By the way, I remember that when I started doing it for a long time, wasn’t there an institution from Xia Guo involved?”
“…This is a good gimmick. You contact the media and let them say that the retail riots this time are their conspiracy!”
At this time, Plotkin’s eyes lit up again, thinking that Wei Ziqi’s team had joined the big army for the first time.
Now the Xia Guo threat is still easy to use, as long as all the problems are thrown to the Xia Guo conspiracy, that is, political correctness, they can occupy the moral system. “Okay, boss, I’ll do it now.”
The supervisor responded (Li Li’s), but he didn’t leave the office directly. After hesitating for a while, he whispered: “…But even so, boss, GME’s stock price is now over a hundred dollars.”
“…even if we use these means to bring down GME’s stock price, it is impossible to fall below $20, and we are still at a loss.”
When Plotkin heard this, he slapped the table hard and shouted: “…It’s all time, are you still thinking about making money?”
“… At this time, we want to reduce losses as much as possible and close our positions when the stock price is as low as possible, understand?”
The director of Melvin Capital shrank his neck and said quickly: “…Yes, I understand, boss.”
“Understood, don’t hurry to work!”
After scolding the supervisor away, Plotkin sat down in his chair slumped.
He took out a cigar and took a few sips in annoyance, looking terrified.
To be honest, these methods he used were a bit too contrived, and even he didn’t know if doing so would have any dire consequences.