When Chen Zhongkang was talking, there were other people nearby and heard their discussion.
This is what happens when an experienced person introduces the stock exchange to a novice.
This situation happens all the time on the stock exchange.
Most people think this is normal.
There was only a fat man wearing a big gold chain around his neck. He couldn't bear what Chen Zhongkang said.
With his outfit, he wanted everyone to know that he was a nouveau riche.
The fat man pushed aside the crowd, walked up to Chen Zhongkang, and reprimanded loudly: "You don't understand anything, how come you are spreading rumors here.
It is obvious that Longchang Automobile cannot be sold. There are rumors that Longchang Automobile's factories cannot pay wages and are preparing to lay off half of their workers.
The problem of oil shortage will not be solved in a short time, and oil prices will definitely continue to rise."
When the fat man spoke, spittle flew everywhere, and two shining golden teeth were exposed in his mouth.
Chen Zhongkang saw that because of the fat man's words, they attracted more attention on the trading floor.
He retorted sharply: "Sir, you are so sensitive to the price of oil.
The stock market mostly trades related stocks, even selling stocks of companies such as Longchang Automobile.
The stock prices of these companies are very stable. Even if you sell the stocks of these companies recently, you will only lose a little tax.
Seeing that you are so anxious, you must not want to hear the news about the discovery of a large amount of oil in Persia, and you are aware of some news and feel panicked.
You must be buying high-priced oil futures contracts in the futures market next door, betting that oil will continue to rise."
The big fat man pointed at Chen Zhongkang and said excitedly: "You kid, you are following me. What are your intentions?"
Chen Zhongkang said with disdain: "People like you have emotions and anger on your face, and it's too easy to tell what you are thinking.
I think it's okay for you to play in the stock market for a few times at your level, but don't play futures.
All the wealth your father built up to be rich will be quickly wiped out by you."
When the big fat man heard this, he said with a ferocious look: "I have asked the master to do calculations. This month is the Fiery Moon, and the price of oil will definitely skyrocket.
When I earn a lot of silver coins, I will smash you down one by one."
Chen Zhongkang looked at the big fat man as if he were looking at a perfectly growing leek.
Onlookers saw the quarrel between the two.
Oil prices have a huge impact on many stock prices.
They all discussed whether oil prices would rise or fall sharply.
"I think what this gentleman said is very reasonable. The empire's attack on Persia is definitely not because of a certain merchant who disappeared in Persia. It must be that Persia has indispensable resources for the empire.
I have a friend who is a maritime businessman. According to him, there is a lot of kerosene in Persia, so there should be no shortage of oil there.
Once a large oil field is discovered in Persia, oil prices will really plummet.
As long as the price of oil falls sharply, the supply of diesel on the market will be sufficient, the performance of major automobiles such as Longchang Automobile will skyrocket, and the stock prices will definitely rise sharply."
"The empire's attack on Persia was just a random excuse.
I think not only the empire, but also other overseas countries will not have much oil.
Longchang Automobile's transformation has completely failed.
The experience of a diesel engine car is very good, but it is not as practical as a steam engine car.
I believe that as the few remaining oil wells in the world become depleted, diesel will slowly disappear from the market."
There are mainly two groups of people present, they support the sharp rise and the sharp fall of oil respectively.
The interests of these two groups are completely different. They all bought corresponding stocks and hoped that things would develop according to their plans.
Balang listened to these people arguing with great interest.
People there, when they quarrel, punch each other first, and whoever loses the fight will have no one to listen to what they say.
The Han people in the capital are always polite no matter how they quarrel.
As the quarrel between the two groups became more and more heated, wailing sounds continued to be heard in the stock trading floor.
Someone else yelled miserably: "I won't sell Longchang Automobile's stocks.
This is a false transaction, taking advantage of the information gap to snatch the stocks from me."
Someone else shouted sadly: "A large oil field has been discovered in Persia. How is this possible? This must be fake news."
News spreads extremely quickly on the stock trading floor.
Soon a staff member wearing overalls or overalls appeared, holding a stack of newspapers in his hand.
"The Hualian Associated Press released major news that a team of professors from the School of Geology discovered a large oil field with rich reserves in southwestern Persia.
The estimated annual oil production is six times greater than all the current oil fields in Nanyang and Luzon combined.
This is a veritable large oil field. At the empire’s current oil consumption rate, this oil field can last the empire for fifty years.”
While the staff member was speaking, he did not stop handing out newspapers to everyone present.
No matter which faction they belonged to, they all immediately received the newspaper and read the news in the newspaper carefully.
The fat man wearing a big gold chain turned gray immediately when he saw what was in the newspaper.
He collapsed on the ground and kept wailing: "My silver coins, my five hundred thousand taels of silver coins, are gone, all gone.
This is all the property my father left me, and most of it was lost in just two days."
Those around who were originally bearish on Longchang Automobile's stock also suffered certain losses.
But seeing that the big fat man had lost more, he suddenly felt mentally balanced.
People who buy Longchang Auto and other stocks related to bearish oil prices have smiles on their faces.
Some people couldn't help it, holding newspapers in their hands and laughing.
Balam saw a scene of heaven on one side and hell on the other.
He didn't expect that the magic power of stocks is so great, and all kinds of human beings can be seen here.
Barron saw some people react as if they were going crazy and immediately bought the relevant stocks.
But among those who can come to the stock trading floor, some are fools.
If a stock rises significantly, how many people will sell it.
Barang saw that the stock price of Longchang Automobile rose from 501 taels of silver coins per share to 550 taels of silver coins, and it continued to rise.
He looked at Chen Zhongkang in surprise and said in disbelief: "Brother Zhongkang, in less than an hour, you have earned more than five thousand taels of silver coins.
This speed of making money is so shocking.”
Chen Zhongkang said modestly: "This is the charm of finance.
As long as you are shrewd and restrained enough, you can make a lot of money through financial means."
Chen Zhongkang took Balang to briefly understand the process of stock trading.
He basically made Balang aware of the speed of making money through financial means and the dangers of novices entering the financial market.
Only in this way can he build a listed company with the help of Bahrain's wool industry.
Chen Zhongkang wants to get rid of his leek status and become a standard-bearer in the stock market.
He proposed to take Balang out of the stock trading floor and show him the development of listed companies.
Balang walked out of the stock trading hall. He thought of the performance of the upstart just now and asked curiously: "Brother Zhongkang, what is the futures market?"
Chen Zhongkang pointed to No. 2 Financial Street. The building next to the Beijing Stock Exchange is the Beijing Futures Exchange.
He shook his head and said: "This is the futures exchange, and it's really a step from heaven to hell here.
With my current abilities, I wouldn’t even dare to enter the futures exchange.
If you are not careful here, even tens of millions of silver coins will evaporate in an instant.
Most of the customers here are large business groups and large companies.
There is no room for retail investors to survive here."
Chen Zhongkang took Balang into the futures exchange.
The layout here is obviously different from the stock market trading hall.
Futures exchanges are all small, airtight rooms, and exchange staff are constantly walking in and out of the rooms.
They carry different contracts and hang them in the hall of the futures exchange.
Balang had already figured out the process of stock trading, and he thought he could figure out the process of futures trading by taking a look at it.
He looked at it for a long time, but still didn't understand it at all. The only thing he could understand was that the amount of futures trading was very large, often starting from hundreds of thousands of taels of silver coins.
Without a certain net worth, you can't even reach the threshold for futures trading.
Chen Zhongkang saw Balang's confused look, and he simply introduced: "Futures trading is very complicated, and I can't explain it at the moment.
I'll use the analogy of your wool.
If the price of wool in spring is one tael for ten pounds, the wool harvest is in autumn.
You can place the contract at this price in the spring.
Once the contract expires, regardless of whether the price rises or falls, the person holding the contract must complete the delivery of the goods.
The contract can change hands multiple times before expiration."
After Balang listened, he shook his head to show that he didn't understand at all.
They sold wool at whatever price they had at that time, so that's what they sold it for.
Chen Zhongkang said with a smile: "It's okay if you don't understand. Most people don't understand finance. There's no need to pretend to understand.
Financial transactions are a complex process, so just leave it to someone you trust.
If your family has the idea of going public, I can provide you with advice."
Chen Zhongkang stated his purpose. When he saw that Balang didn't refute, he knew that the matter was basically half done.
He immediately took Balang to have a feast and at the same time drew a big cake for Balang.
He will definitely make money from the big market movement this time.
I already have enough start-up capital, all I need is a suitable project.
A small retail investor like him can only play stocks.
Chen Zhongkang is self-aware and will never touch futures.
The futures market is too complicated, and whoever touches this thing will die.
…………………………
Li Dagou, the general manager of Longchang Automobile, came to the futures exchange.
He ordered his subordinates: "Buy steel futures in large quantities, especially futures that can be delivered within three months, and buy at a premium."
The subordinate said hesitantly: "Boss, is this approach too radical?
Our current production is already sufficient, and it will be difficult to absorb the increased production."
Li Dagou glared and snorted coldly: "Don't meddle in issues that are not yours to deal with. Follow my orders."
He looked at the wall in front of him. A large number of institutional contracts were being sold continuously, but the steel contracts were not popular yet.
Persia indeed discovered a large oil field. The emergence of this result directly saved Longchang Automobile.
Li Daguan wanted Longchang Automobile to transform, and he did not expect the oil shortage that would follow.
When Longchang Automobile was booming, there was an oil shortage.
Except for the rich and powerful, a large number of potential customers were turned away.
When Li Daguo saw this situation, his heart was bleeding, and the rising momentum of Longchang Automobile came to a silent halt.
In order to keep Longchang Automobile alive, he used various methods.
After selling cars cheaply doesn't work, the only option is to raise funds through the stock and bond markets.
Li Da was able to put up a small amount of shares to allow Longchang Automobile to enter the stock market.
The money from selling stocks stabilized the decline of Longchang Automobile.
They then went to the bond exchange to sell Longchang Automobile's corporate bonds and give investors high interest returns.
The bond exchange was originally a unit under the bank.
It is responsible for raising funds from the private sector by issuing special debt.
The emergence of new things like the stock market and futures has relaxed the requirements for bond trading.
Now companies can issue corporate bonds and repay the principal and interest upon maturity.
Li Daguo's heart was gloomy before that. He didn't know whether Longchang Automobile could survive.
He was most afraid that Longchang Automobile would go in the wrong direction and spend a lot of money to research diesel engines. As a result, diesel engines were shelved because oil was too scarce.
Once this happens, Longchang Automobile will definitely go bankrupt, and his lifelong pursuit will become a joke.
Li Daguo had previously been able to convince himself with the excuse that the imperial court would never spend military money on a meaningless war.
Now, as newspapers publicly report, a large oil field has been discovered in Persia.
All the pressure that Li Daguo had before had completely disappeared.
Longchang Automobile has survived the biggest crisis, and its growth will be unstoppable.
At the same time, Li Dagou also firmly believed in his own judgment. These people simply could not judge what kind of motivation the imperial court could exert for a desired thing.
Most people believe that the oil fields in Persia will be like the Nanyang oil fields. It will take more than half a year from discovery to extraction and then to the production of diesel.
Li Da was able to judge that in order to solve the problem of extreme oil shortage in the country, oil from Persia is likely to appear in a month's time.
As long as the oil shortage problem is solved, the company's vehicles will surely sell well and the materials in stock will be consumed quickly.
It was too late to buy steel at that time.
You have to pay a higher price.
Although the current steel futures price has fluctuated somewhat, the floating position is about the same.
The price of steel is worth buying. Once you hold the futures contract in your hand, Longchang Automobile does not need to be afraid of anyone using tricks.
Li Da stared closely at his subordinates and saw that he had bought five contracts.
He then told his subordinates to stop. The current purchase contract was enough and he was just waiting for them to deliver enough steel.
Li Dagou walked out of the futures trading market and said with emotion: "With futures trading, it is so convenient to purchase important materials.
The quality of private steel is not up to par, so you can only buy steel from government-run companies.
These government-run companies are extremely difficult to deal with, and it has become normal to take Naqa drugs, and there may even be cases where the money is collected but the goods are not delivered.”
Li Daguo has never encountered such an extreme situation.
But Longchang Automobile was still disgusted several times when it purchased steel.
Li Dagou believed that the court should discover this situation, and then the futures market appeared.
Large companies like them can buy excellent quality products in the futures market without looking at anyone's face.
The emergence of the Financial Street has indeed changed the empire's business environment.