Chapter 208: America's Disaster, Fund's Victory

At dawn on August 29, Hurricane Katrina made landfall off the coast of New Orleans on the U.S. Gulf Coast at a speed of 233 kilometers per hour. Look at 'Mao's line, Chinese, and net

Hurricane Katrina, with the power of a 10-megaton nuclear bomb, turned New Orleans into a "water city" and a "purgatory for man" - New Orleans never roasted its wings again.

Hurricane disasters are mainly manifested in storm surges, strong winds, tornadoes and floods.

The city of New Orleans is located in the lower reaches of the Mississippi River, with an average elevation below sea level, with its lowest point being 3 meters below sea level. Its topography resembles a pan that is not deep, and the water is on the edge of the pot. For a long time, the city of New Orleans relied on more than 200 miles of flood levees and pumping systems to keep the flood safe.

Katrina formed a Category 5 hurricane that triggered a very strong storm surge.

A storm surge is the amount of water that is pushed to the coast by the swirling winds of a hurricane. Storm surges, along with normal ocean tides, can create more lethal hurricane surges, raising sea levels by more than 46 metres.

Hurricane Katrina set off a storm surge of 5~9 meters high in the coastal areas of Louisiana and Mississippi. This is the highest storm surge ever experienced in U.S. history.

Under such a strong storm surge, the city of New Orleans' levees burst like pieces of paper. The influx of seawater into the city of New Orleans flooded an entire area of the city, causing huge casualties and property damage.

New Orleans was once the most exotic city in the United States – polite passers-by, clean streets, and even warm, but airy air were all fond and nostalgic.

However, with the arrival of "Katrina", the screeching gunfire drowns out the laughter, the tide of slaughter swallows up the knights of Bourbon Street, and the squirrel that leaps under the canopy of a century-old banyan tree suddenly has to confront the predator of his life...... All this is like a scene that only happens in a war-torn city in a movie, and it all really happens in the United States, the most developed capitalist country in the world.

The city washed by the hurricane floods gives a glimpse of the other side of the United States.

In the aftermath of 9/11, the United States put natural disasters on the back burner and turned its attention to terrorism. The U.S. government cut funding for flood control projects as the costs of the Iraq conflict soared, but the laws of nature did not stop with 9/11 – the U.S. neglect of flood control levees was one of the main culprits of the disaster.

Many roofs were torn off, power and water were cut off throughout New Orleans, and communications systems were paralyzed. At the same time, the U.S. government's ineffective rescue efforts have made it a "purgatory."

Louisiana did not rush to reach interstate mutual aid cooperation with neighboring states until after the hurricane passed, delaying the handling of the disaster. In anticipation of the civil riots that often accompany flooding, the National Guard was not deployed throughout New Orleans in a timely manner, and the city was once in a state of governmentlessness due to a serious lack of police, and the riots continued to worsen.

The situation was urgent, and Bush Jr. returned to Washington from his vacation ahead of schedule. The Pentagon ordered a naval rescue team to rush to the Gulf coast of Mexico to provide support. But the U.S. government was still too late in reacting to the disaster, and the tragedy in New Orleans was reaching its climax.

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In the Assassin Fund, Qi Zheng and the others looked at the TV screen on the wall, New Orleans was like the burning houses of the African Civil War city, the flooded streets, the floating corpses and the military helicopters overhead. "We have to warn you that these are not the sights of the big cities of the United States that we are used to seeing," the reporter said. ”

On the other side, the screen shows the crude oil price curve of the New York Mercantile Exchange.

As of now, the hurricane shut down one-third of the 1.5 million barrel oil fields near the Gulf of Mexico and affected 2.5 million barrels of refinery capacity.

When the hurricane made landfall on the 29th and the New York Mercantile Exchange opened, oil prices, which had been hovering between $64 and $65 before, soared by more than $4 per barrel as if they had suddenly hit adrenaline, and climbed to a high of $708. Because it was so fast, the $4 rise even hit a breakpoint on the curve of the screen.

In this period of change in oil prices, there are only buys, no sells, everyone wants to keep buying more and buying more, and the assassin fund, which has been laid out in advance, can happily enjoy this fat cake at the moment......

If it weren't for the horrors of the city of New Orleans that were being broadcast on the TV at the same time, the traders of the Assassin Fund would have let out a loud cheer at this time. But now, under the interweaving of joy and sympathy, everyone is stunned and has nowhere to release.

Qi Zheng sat on the chair and thought for a while, and then called Jiang Ping and Su Fang, and asked, "You guys are ready to close the position at any time now, how long will it take?"

"Now, 30 million barrels can be sold in just 10 minutes, and the market is full of more orders and waiting for people to buy. Su Fang said lightly, and then reacted and asked, "Do you think oil prices will fall?"

"It's very likely! The economic damage caused by Hurricane Katrina is difficult to estimate, and the government will definitely have to allocate huge sums of money for the recovery and reconstruction of the affected areas, and in order to boost market confidence, it is very likely that measures will be taken to address the market tensions caused by Hurricane Katrina. There was no need for Qi Zheng to answer, the scheming Jiang Ping analyzed.

Qi Zheng glanced at Jiang Ping approvingly, he just combined his memory analysis, the oil price after Hurricane Katrina exceeded $70 barrel for the first time, but the highest level in the short term did not seem to exceed $71, and now the price of $708 is estimated to be a high level.

As the U.S. government takes steps to suppress oil prices, oil prices will revert to shocks in the future, and it is better to be in the pocket now.

Qi Zheng nodded calmly and said, "The ideal price is $70, and it is best to close the position before the market closes." ”

So far, Qi Zheng's judgment has not gone wrong, and he has also gained great trust from the two, not to mention that Jiang Ping also holds the same view, so Su Fang slowly said, "No problem, the market is still generally upward, and we expect to close the position within an hour." ”

Now that the market confidence is unstable, oil prices remain upward, and most people will buy long orders.

Under Jiang Ping's instructions, Su Fang and the others began to sell slowly.

As the transaction progressed, the Assassin Fund held fewer and fewer long orders, and after less than an hour, they were all turned into cash.

The amount of funds in the Assassin Fund has also increased to nearly $500 million. Of this, $300 million came from the fund's original funds, and the remaining nearly $200 million was net gained.

Assassin funds opened positions at an average of $635 and closed them at an average of $70, making a profit of $65 per barrel, and a profit of $19.5 billion for 30 million barrels.

This is really extra liquidity, in a prudent way, and then speculating on futures, the nearly $200 million newly earned will be lost, and it will not affect the Assassin Fund, and if the previous $200 million is lost, the Assassin Fund's efforts over the past three years will be in vain.

Su Fang's face turned red with joy. Doing speculative business is especially important to settle in the pocket, you make money easily, and it is certainly easy to lose money. Only when the money is in the hands is really earned.

To put it mildly, Hurricane Katrina was a disaster for the United States, but it was a blessing for Kaya.

The futures market is a zero-sum game, where someone loses in order for someone to win. As the winner, Jiagu naturally needs to pay hundreds of millions of dollars for this, and these feedback to the average consumer is an additional cost that needs to be paid.

But Qi Zheng was not satisfied, as a veritable "wind controller", because the power of Hurricane Katrina in the early stage was strong enough, and he did not interfere, but the back is where he can show his skills.

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