America’s Road To Wealth

  Chapter 194 The New King of Wall Street is Birth

  It is also January 9th.

  The most powerful black man on Wall Street is facing blame and accountability from the company's board of directors and CEO David Komansky.

  Smith Building, in Abel's office on the fourth floor.

  Abel was standing in front of the floor-to-ceiling windows with his arms folded, staring at the tall buildings across Manhattan.

   Those buildings that symbolize finance still stand tall.

  Only Abel knows how many people there will be dying of pain at this moment.

  Smith Capital, the amount involved in this transaction is too large.

   So much so that Abel spent the past two nights in the company's office because he was worried about the counterattack of the short sellers.

  He enjoys the tranquility here.

   But he knew that across the East River in New York, there were already a lot of people tearing their hearts out.

   He also knows that if he waits a few more hours, hundreds of speculators will be cornered.

  Capital will not give even the slightest bit of mercy and sympathy to the losers.

   And he is the capital who entered indiscriminately, and the butterfly effect aggravated the bubble.

  Parallel time and space.

  In January 2001, there was such a black swan event in the foreign exchange market.

   But not as intense as this time.

   It's him, the wolf of Wall Street who shorted in the early stage and idling more in the mid-term.

   Making this situation so intense has caused more people in this time and space to misjudge.

   Bankrupt more people, or end their lives.

   Just now, there have been media reports in New York.

  Someone jumped off a building on Wall Street, and jumped twice.

   beep~beep~beep

  There was a knock on the door of the office.

   "Come in." Abel said, looking at Manhattan opposite.

  Across the East River in New York, he seemed to see the blood on the ground of Wall Street at this time.

  The door was pushed open.

  For a week, I only slept three or four hours a day.

  It all depends on drinking coffee, and I even want to rely on drugs to refresh me in the middle.

  David Mellon who was stopped by Abel.

  The young master of the Mellon family, with his hair that hasn't been washed for a few days, is in a mess.

   But he walked in with a smile on his face.

  Abel turned around and looked at David Mellon with a smile.

  The latter came directly to him without saying a word.

   He jumped down exaggeratedly, and in a kneeling position, raised his hands high, shouting heart-piercingly:

   "god! god! god! Mysupremacygod!"

  Looks like crazy.

   Abel shook his head with a smile. Abel knew that David was caught by the market these days.

   And the earnings of these two days, the stimulation is almost a little mentally disturbed.

  Abel walked over, slapped David on the shoulder twice, and kicked David's **** several times.

   Then say: "Don't be like XJ! Come on, go out and see how my wolf cubs are doing."

   "Hey hey hey~"

   David Mellon stood up with a silly smile, and followed Abel out.

  Chairman and General Manager of Smith Capital.

   Soon came to the trading floor on the third floor.

  In the trading hall, they also fought hard for several days and nights.

  The traders of Smith Capital who only slept for a short time.

  After they saw Abel appear, the first few.

   I don’t know if it was taught by David Mellon just now.

  It turned out to be the same as David Mellon just now.

   One or two, shouting the same words as XJT.

  Knelt on the ground and raised his hands towards Abel, with a face of crazy worship.

  The actions of these guys in front soon led to the imitation of hundreds of Smith Capital employees behind.

   Ten seconds later, in the spacious trading hall on the third floor.

   More than a hundred traders from Smith Capital.

  They all raised their hands high, screaming heartbreakingly like XJT, and worshiped Abel.

   To be honest, Abel didn't like this crazy look.

   But he knew why they were the way they were.

   Mainly because of the state of the safe house in Smith Building this time.

  His investment experience has been too ups and downs.

  At first, Smith Capital chose to go short.

   At that time, the overall market of USD/JPY was slow.

  Shorting at that time was going against the general trend of the market.

  This kind of behavior made Smith Capital a few days.

   At the peak, the unrealized losses almost exceeded 600 million US dollars.

   Then the small bushes entered the white house, and then two days later the Federal Reserve announced an emergency interest rate cut.

   These two things caused many Wall Street investment banks to make a wrong judgment.

  Plus the depreciation of the dollar due to interest rate cuts.

  The USD/JPY bull market, which was originally very good, began to go bearish.

   In more than a day, Abel's floating loss turned into floating profit.

   According to the normal script.

  Abel should wait to earn a certain floating profit, close the position and leave after a few days.

   But he didn't.

   Instead, he entered the market in large numbers and wanted to short USD/JPY.

   Played a lot of idling.

  Smith Capital took advantage of the large number of short sellers entering the market.

  In a very short period of time, successfully opened more than 500,000 lots.

  The follow-up result was that he lost more than two billion US dollars within two days.

  So that the margin on the account is very dangerous.

   Abel had to sell a lot of stocks in the US stock market to raise funds to increase margins and hedge risks.

  The critical moment appeared at Tokyo time in Asia, at 7:30 p.m. on January 6th.

  With the pioneering quantitative easing policy that Neon Central Bank came up with.

   And it happens that the next day is a weekend, and the futures market is closed.

   And within two days of the weekend.

  Several major countries in the world have successively announced interest rate cuts in their own currencies to hedge against dollar interest rate cuts.

  A large number of black swans that are good for the dollar appear, plus the super black swan of quantitative easing that is bad for the yen.

  In the end, the USD/JPY market was out of control, and it is today's situation.

  The ups and downs are important.

   But the most important thing is actually in this gamble between Smith Capital and Wall Street.

  Smith Capital has obtained a single exaggerated profit that is very rare in the entire history of Wall Street.

  In the first 500,000 lots, followed by 110,000 lots to cover the positions. The total number of foreign exchange held by Smith Capital this time is 610,000 lots, and the average opening position is around 105.100.

   According to the current market, 119.650 is calculated.

  Smith Capital's profit is 1455 points.

  A profit of ten dollars per point, that is, a standard lot, will have a profit of $14,550.

  The total profit is a profit of about 610,000 x 145,508.875 billion US dollars.

   And Smith Capital, in this investment.

  The total investment, in addition to the initial three billion US dollars.

   Subsequent additional funds of about 3 billion US dollars.

  The principal amount is 6 billion US dollars.

   So far, $8.875 billion has been earned.

  6 billion dollars, almost 8.9 billion dollars earned in less than ten days!

  This achievement made the trader and David Mellon, who had witnessed it, naturally fall into this situation.

  Abel also let his subordinates vent their emotions accumulated during this period.

   After they calmed down, he took the microphone from David Mellon.

   "Brace yourself, my wolf cubs."

  He was talking about himself, and he was a little disgusted with the words of the second grade.

   "The hunt isn't over yet. USD/JPY is way beyond that. Watch, we'll bleed Wall Street!"

  David Mellon raised his hands high in cooperation and shouted loudly: "Rivers of blood, rivers of blood, rivers of blood!"

  The employees of Smith Capital below also raised their hands frantically.

   For a time, "rivers of blood" flooded the entire Smith Building.

  Those who don’t know pass by may think that something bad happened inside.

   After encouraging the spirits of the traders.

   Another David, David Jones walks over with Abel's business phone.

   "Philip Purcell." David Jones lip-synced his boss.

  Abel nodded, and took the phone that David handed over.

   "Hey, Philip, good afternoon." Abel smiled across the phone.

  Abel could clearly hear Philip Purcell on the opposite side smiled wryly.

   "Mr. Smith. You may be fine. But let's be honest, we're not that good."

   "Oh? Why? The weather in New York is fine today. Look, the sun is rising outside!"

   "I think it's suitable to go out for a walk in this kind of weather, what do you think?"

  Abel asked knowingly, and said so on purpose.

   "Okay." Philip Purcell's voice calmed down:

   "Mr. Smith, let me be straight. You won this time, and you won very thoroughly."

   "Morgan Stanley throws in the towel."

   "Morgan Stanley has about 90,000 empty orders left. Mr. Smith, please make an offer. We want to close the position."

   It has been said before.

  Whether it is long or short, when the quantity reaches a certain level.

   If there is no opposing camp, accept the end of your position contract.

   That is, if no one takes the order, it will be considered a liquidation, and the loss will continue.

  If you are not bankrupt, you must repay the debt due to this loss.

  If you don’t pay back the money, the middleman and guarantor will accompany your counterparty to pursue the debt collection.

   Those small and medium-sized investment banks and investment companies are relatively easy to talk about.

   I really couldn't afford to lose money, so I went bankrupt.

  But of course giants like Merrill Lynch and Morgan Stanley cannot go bankrupt so easily.

   You can’t really default on your debts.

   That is to say, if you don’t want to continue to lose money.

  These investment banks have a large number of empty orders in their hands, and they must choose to close their positions immediately.

  But in the market, the one holding the most long orders is Abel again.

  These big investment banks with many orders, the only one who can eat a large number of their short positions is Abel.

  Philip Purcell is for this reason, making this call.

  Smith Building, Abel, who walked to the French windows on the third floor, said with a smile on his mobile phone:

   "Are you so pessimistic? Purcell, the market hasn't even opened in the afternoon. Maybe in the afternoon, the dollar/yen will fall again?"

   "Perhaps," said Philip Purcell:

   "But Morgan Stanley chose not to play. And as far as we know, you are the biggest long. Make an offer, Mr. Smith."

   "Okay. It seems that you are determined. Morgan Stanley really deserves to be Morgan Stanley, that is, decisive."

  Abel smiled and said: "Morgan Stanley has 2% of Comcast's shares and 3% of Google's shares. Sell them to me at the current market price."

   "No problem." Philip Purcell said immediately.

  If these shares can make Abel Smith willing to let Morgan Stanley go.

   Not to mention their current market prices.

  Even if it was a free gift, Philip Purcell would probably be very happy.

   But Philip Purcell knew that Abel could not be so generous.

   A piece of meat the size of Morgan Stanley is right next to Abel

   It is impossible to put down the half-swallowed meat because of other petty gains.

   This is not Wall Street style.

  If he did that, Philip Purcell would look down on Abel instead.

  Think of the kindness of the Abel woman.

  The benevolence of a woman can live long on Wall Street.

   Sure enough, Philip Purcell was relieved by Abel's next condition.

   "Also, I want to make up 5% of my shares in Morgan Stanley according to the market price. What I want are original shares with voting rights."

  Compared to the previous "little request".

  This request will make Morgan Stanley feel uncomfortable and embarrassed.

  5% of the original shares with voting rights are not too small.

  As a listed company, stocks have always been very dispersed.

  More than 15% of the shares are held by super large shareholders, and more than 20% are relatively controlling shareholders

  5% of shares with voting rights. Among the shareholders of Morgan Stanley, it can even be ranked in the top 10.

  These voting shares can already have more than two board seats on Morgan Stanley's board of directors.

  Facing Abel’s request, Philip Purcell gave him a simple and direct answer:

   "Give me half an hour, Mr. Smith. In half an hour, I will answer your question directly."

   "No problem. I'll wait for you, Philip."

   "Then goodbye and have a nice afternoon."

   "I also wish you a happy noon~"

  The phone was hung up by Philip Purcell there.

  The smile on Abel's face subsided.

  Holding his mobile phone, he looked across to Manhattan from the third floor.

   This time he didn't fantasize about the bloodshed on Wall Street.

  He was thinking about Morgan Stanley.

  Abel believes that there is a high probability that Morgan Stanley will accept his request.

   There are several reasons.

  One is Abel himself, who already holds about 1.6% of Morgan Stanley's shares.

  This is part of the shares he acquired in the secondary market, that is, the stock market.

  Although the shares bought in the secondary market do not have voting rights, they have the same value.

   Although they have no voting rights, they are not original shares.

   But he can also be regarded as one of the major shareholders of Morgan Stanley.

under these circumstances.

  Letting his stake exceed 5% does not embarrass Morgan Stanley.

  The second reason is that Abel already had a great reputation in Wall Street.

  After this World War I.

  His reputation on Wall Street is bound to rise to another level.

   His first confrontation with Wall Street has so far been a complete victory.

   This also means that he has truly established himself on Wall Street.

  Successful independent portal!

  Smith Capital + Pacific Bank of Commerce will become one of the new Wall Street giants.

   Let a new Wall Street giant become a director of Morgan Stanley.

  This can be said to be very normal. It is also very much in line with Morgan Stanley's corporate culture.

  Finally, Morgan Stanley probably figured it out.

   USD/JPY will continue to go more.

   If there is no way to close the position in time, Morgan Stanley will continue to lose money.

  This will lead to a very ugly financial statement for Morgan Stanley this year.

   In order to stop the loss in time, there is nothing wrong with introducing Abel to the Morgan Stanley board of directors.

   Sure enough, it didn't take half an hour.

   Only a few minutes later, Philip Purcell called again.

   "The board agrees. From now on, Mr. Smith, you too will be a member of the Morgan Stanley board."

   Philip Purcell said quickly.

  The CEO of Morgan Stanley even changed his tone when he called this time.

   became respectful a lot.

  Abel couldn't help laughing, this confrontation with Wall Street.

  One of the off-court resources he wanted most, got it.

   "No problem. Now that I have become a member of Morgan Stanley's board of directors, I certainly cannot sit back and watch Morgan Stanley's serious losses and remain indifferent."

  Abel responded with a smile: "Let the people from Morgan Stanley's trading department come over here to connect."

   "Thank you for reaching out, Director Smith."

  Philip Purcell is also a wonderful person, and he changed his title all at once.

   "Haha~ Mr. CEO, I hope we can cooperate happily in the future."

   "Pleasant cooperation."

  The phone was hung up by Abel, but before the smile on his face subsided.

   This business phone was started again.

  Abel looked at the contact notes, it said Richard Fuld.

  His unrestrained smile bloomed again, and became more presumptuous.

   A call with Richard Fuld of Lehman Brothers.

  The content is similar to that of Morgan Stanley's Philip Purcell.

   In the bargain.

  He got 5% of the voting shares of Lehman Brothers and entered the board of directors of Lehman Brothers.

   In addition, Lehman Brothers owns 5% of Google shares and 2.5% of News Corporation shares.

   is Murdoch's News Corporation.

    Lehman Brothers is Murdoch's largest investor in Wall Street.

  This is why in the parallel time and space, when Lehman Brothers was on the verge of collapse, the reports of Murdoch's News Corporation were all positive.

  Abel had already obtained 3% of the shares of News Corporation from the desert stock god.

  If this 2.5% is added, he will also have more than two board seats in News Corporation.

   Next, Abel's entire noon.

  Almost all the time was spent answering the phone and bargaining.

  During this hour, the smile on his face never restrained.

afternoon.

  When the New York Stock Exchange is about to reopen.

  These calls slowly became less and less.

  Abel was a little regretful, he didn't expect that Goldman Sachs would not end this time.

  This allowed him to collect the four major investment banks in Hollywood, no, it should be said that the achievement of collecting the board seats of the five major investment banks could not be achieved.

  Hmm.. There are originally five of the four major investment banks on Wall Street. This is common sense, isn’t it?

   The fifth is Bear Stearns, which is common sense.

  At present, Abel has gathered the board seats of Bear Stearns, Lehman Brothers, Merrill Lynch Securities, and Morgan Stanley.

   Only one Goldman Sachs is missing, and he has achieved success.

  Because Goldman Sachs was absent in the early stage, and even joined in the middle to do long.

  His achievement is obviously impossible to complete for the time being.

  Afternoon, within ten minutes of opening.

  Short capital, trying to carry out a dying struggle.

   This made USD/JPY fall back to 117.360 within half an hour.

  But at this time, how can the bulls let go of the beautiful meat in front of them?

   Struggling for about an hour or so.

  USD/JPY returned to the 119 line again.

   After three o'clock in the afternoon, the line touched 120.

  120 seems to be the last warning line for the bears to struggle.

   After breaking through 120, the following is a slump.

   Wait until January 11th.

  USD/JPY came to around 123.650.

   Within two days.

  More than one hundred small and medium-sized investment banks and securities companies on Wall Street declared bankruptcy.

   At the same time, many giants on Wall Street are inside. Within these two days, new appointments and dismissals were announced.

  For example, Stanley O'Neill, the first vice president of Merrill Lynch, was announced to be dismissed and is said to have been investigated.

  Lehman Brothers Chief Financial Officer Bryn Bulley. He was also forced to resign and helped the bulldogs of Wall Street to take the blame.

  Morgan Stanley and Bear Stearns also have similar appointments and dismissals.

  Among the giants, there are only PNC Financial Services Group and Goldman Sachs, and there is no unusual movement.

   This is the case on Wall Street.

  If you put your eyes on the whole world.

  Small and medium-sized investment banks that have declared bankruptcy or are on the verge of bankruptcy in the past few days, plus Wall Street.

  The quantity should be doubled.

  The closure and bankruptcy of more than 200 small and medium-sized investment banks and securities companies.

  More than fifteen Wall Street executives "resigned" and were dismissed.

  The misfortune of these companies and executives.

   It seems to imply the rising of a new Wall Street giant.

  Smith Capital, which was established less than a year ago.

   Through this battle with Wall Street, it declared its status and sense of existence.

  At the same time, along with Abel Smith, he was welcomed into the board of directors by four of the five major investment banks on Wall Street.

  After becoming their director.

   The name Abel Smith.

  Finally, he has a new nickname on top of the original "Wolf of Wall Street" nickname.

  Some people say that Abel's new nickname should be "King of Forex".

  Because most of his money is earned in foreign exchange.

   But there are many people who are against it.

  A larger number of these people think that Abel also has very terrifying gains in stocks, crude oil, and precious metal futures.

   Didn’t see the US stocks that Smith Capital invested in.

   It's less than a month away.

  Their overall increase has exceeded 50%?

  This part of people believes that Abel Smith, the new Wall Street giant.

  His new nickname should be "God of Investment".

  Even if you can't use such an exaggerated title as "God".

  At least it should be a nickname like "King of Investment" or "King of Finance".

   Anyway, in the first month of 2001.

  The entire Wall Street, and even the entire United States, financial and financial-related publications and programs are full of Abel's name.

  A large number of financial-related experts, commentators, and analysts.

  They all want to know, in this foreign exchange black swan event that lasted for about half a month and was called "Smith Forex Month" by the industry.

  How much Abel profited.

  This situation has even extended its influence to the global financial publishing industry.

   After Storm Smith in October.

  In the global financial and financial media, a new "Smith Storm" has blown up again.

  (end of this chapter)