Chapter 53 Re-entry Futures Gold Trading (3)
PS: Thank you very much!
Around noon on Wednesday, Andrew arrived in New York.
After a brief lunch, Andrew was worried about whether the price of futures gold would be affected by the published (CPI) index.
Therefore, I didn't care about the fatigue of my body, and I rushed to the futures exchange without stopping to have a look.
Today's futures gold intraday price trend is still a volatile consolidation tone, consolidating slightly near the closing price of $137.1 per ounce on the previous trading day. It seems that it has not been affected by the published (CPI) index.
By the end of the afternoon, it was trading at $137 an ounce, down just $0.1 an ounce.
For this unexpected result, Andrew found it a bit incredible. When I returned to the hotel in the evening, I found today's financial newspaper and looked up the information related to the published (CPI) index.
After reading more than a dozen mainstream financial newspapers and magazines, Andrew understands why. It turns out that the published (CPI) index is not taken seriously by the US financial community!
The current (CPI) index is not an official financial data statistics recognized by the US federal government, but can only be regarded as a private commercial financial data statistics.
Some economic experts in the U.S. federal government do not agree with the collected targets and related statistics in the published (CPI) index.
On behalf of the government, he solemnly stated that the published (CPI) index is not an official financial data and statistics recognized by the U.S. federal government, so it is not authoritative.
However, some financial experts of financial consortia believe that the (CPI) index, which can more truly reflect the changes in the price level of consumer goods and services purchased by households, is of great financial reference value.
Faced with this situation, Andrew originally thought about the plan to buy futures gold sell orders along the way. It's worth thinking about it again, the conditions for homeopathy are gone, do you still want to buy futures gold sell orders?
Andrew pondered on his own, the current (CPI) index, although the US federal government does not agree with its authority. But in fact, it can still more truly reflect the purchase and consumption of residents' households.
Last year, the price of gold rose from $180 per ounce at the beginning of the year to $137 per ounce today. Isn't it the best proof of this!
Ordinary people buy gold just to preserve the value of their assets. And gold has no value for reinvestment, and when you hold it in your hand, it is a physical object. You can only look at it, you can't reinvest it as a dollar currency, and make money!
If ordinary people do not have a strong desire to buy gold to preserve the value of their assets, then the decline in gold prices will be an inevitable result.
At least until late April, when the U.S. federal government released its Q1 National Economic Situation Survey Report, gold prices were on a downward trend.
Andrew figured out the joint problem, combined with the memory of his previous life, the price of gold will only reverse in the second half of this year. Then, it can be expected that the national economic situation in the United States in the first quarter will be relatively stable.
In that case, let's just let it go! In his settlement account, there is still $130 million, which was originally intended to be for the development of three islands and the ordering of yachts. Now do a short-term test and take out $100 million to buy futures gold sell orders.
This short-term investment, if it goes well, may be able to reclaim the funds for the development of the islands!
As for the supplementary funds of the Gold No. 1 Fund and Dubai, after all, it is an entrusted investment, so it is safe to see that it is better not to use it first.
Andrew, who had an idea, fell asleep peacefully.
On Thursday morning, Andrew transferred $10 million each to 10 shadow investment firm accounts. The second group of trading operators was contacted to arrange today's trading operation to buy sell orders for June and August futures at the current price.
Thursday's intraday price trend of futures gold was still uneventful, and by the end of the afternoon, it closed at $136.9 per ounce, down only $0.1 per ounce.
The second group of trading operators also successfully completed Andrew's arrangement today. At a price of 136.9 US dollars / ounce, 108,000 lots were bought, and the futures gold orders for June and August were purchased.
Friday's futures gold, the intraday price trend has changed somewhat, and the strength of the downward shock has increased significantly. By the end of the afternoon, the main force of the bears began to make a move, and successive large sell orders were placed, which made the futures gold price fall rapidly.
By the end of the afternoon, it closed at $136.1 an ounce, down $0.8 an ounce for the day.
The weakness of the futures gold price began to manifest, and Andrew was fortunate that he seemed to be right.
This is followed by a two-day suspension over the weekend. And in the financial press on Saturday, the tone of comments on the (CPI) index began to change somewhat. For some of the data in the (CPI) index, the authenticity of its reflection is acknowledged.
Facts speak louder than words, and the face of the news media changes so quickly!
The two-day suspension of the weekend passed quickly.
On Monday, as soon as futures gold opened, it fell by $0.2, and the resistance of many parties did nothing, and by midday, the price of futures gold fell by $0.6.
Before midday, Andrew saw the weakness of futures gold, and also mixed in, Dubai's supplementary capital of 100 million US dollars, also immediately entered the market, at a price of 135.5 US dollars / ounce, bought 110,000 lots, June and August futures gold sell orders.
In the afternoon, panic began to spread, and ordinary investors actually sold their futures gold. The price of futures gold, almost defenseless, quickly fell below the $135 level per ounce and continued to fall.
The price of $134 / ounce was also broken within half an hour, and it was not until it was at the price of $133 / ounce that it found strong support. It began to stabilize gradually, with small fluctuations around the $133 level.
By the end of the afternoon, it closed at $133.1 an ounce, down a full $3 an ounce throughout the day.
Andrew's side is thunderous, everyone is elated, the boss makes money, and they will also get corresponding benefits. I admire the investment judgment ability of the boss Andrew, after all, they are all witnesses.
Returning to the location of the successful investment company, the people who were still excited began to calculate the investment income in the past few days. Andrew was also happy to see this scene, and announced that after the end of the calculation, the company funded the four-star hotel where he stayed to celebrate.
The $690 million futures gold sell orders invested last year have achieved 100% book profit.
The $100 million futures gold bought last Thursday made a floating profit of nearly $40 million.
The $100 million fund of Gold No. 1 Investment Fund opened a sell position of 108,000 futures gold at a price of $137.6 per ounce. The book surplus per lot is US$4.5, and the total book surplus is US$48 million.
Dubai's $500 million construction fund opened 252,000 contracts of June and August futures gold sell orders at a price of $137.6 per ounce.
At a price of $137.5 per ounce, 180,000 contracts of June and August futures gold sell orders were opened.
At a price of $135.5 per ounce, 110,000 lots were bought, and sell orders for June and August futures gold.
A total of 542,000 lots were bought, with an average purchase price of $137.1 per ounce. The book surplus per lot was US$4, and the total book surplus was US$216 million.
Seeing the total floating profit on this book, the two fund managers in Dubai were a little confused. With a principal of $500 million, in ten days, there was a floating profit of $216 million. The speed of making money makes them a little unbelievable: compared with futures and gold investment, domestic oil mining does not seem to make much money!
After the calculation, the group of people happily rushed to the four-star hotel to celebrate.
And Shen Bi's competitors Charlie and Jardine Matheson are a miserable scene. This time, at $138.2 per ounce, they closed all their sell positions. After smoothing out last year's losses, it also made a profit of nearly $100 million.
Can be reversed long for 10 days, the buying price of $138.2 / ounce fell to today's $133.1 / ounce. The floating loss per lot is $5.1 per ounce. The total floating loss on the books was nearly $300 million.