Chapter 425, the real owner of the stock

Now that Nathan Rothschild has already posed as Chang Gong in 918, the following things are of course simple, basically everyone arranges how to cheat people. The two of them quickly agreed on various operations, and Jerom was dumbfounded when he heard the various operations.

The two sides soon agreed on the basic operation, and then made an appointment with each other about the time to get started, and Nathan Rothschild and Mr. Beauwan left the small living room and went back to the back garden, where they continued to talk and laugh with the other guests.

"Look, this is Rothschild." Seeing Rothschild talking and laughing as if nothing had happened, Bowan said to Jérôme, "Calm and rational like a human being." What a horrible guy. ”

"Really?" Jérôme said, "I felt as if he gave in easily. ”

"No," Bowang said, "he just knows what to do when." That's the scariest part. If I had not had your brother behind me, or the whole of France, I might not have been able to match him. ”

"Mr. Beauwon, you are rarely so modest." Jérôme laughed.

"That's because there are very few people who deserve to be humble." Bowang replied.

After the meeting, Rothschild returned home and immediately began to make arrangements. He first visited Metternich, who was about to pack up and return to Vienna. Because of his outstanding performance as ambassador to France over the years, Metternich should have been promoted a long time ago. It was only Austria that worried that his successor might not be able to take over Metternich's class, and secondly, Metternich was somewhat reluctant to take the position of ambassador to France. Because this position can bring him a lot of wealth. Compared with the amount of money he could get in Paris, the little salary that Austria gave him was really not enough for Madame de Metternich to buy a bag.

But such a fat shortage, the whole of Austria, who is not red-eyed? Even His Majesty Franz was a little red-eyed. The others, of course, surrounded His Majesty Franz and told him that Metternich was a genius and that it was too much to be a little ambassador. It will also make people mistakenly think that we in Austria do not have the wisdom to know people and use people. Therefore, I hope that Your Majesty will recall Ambassador Metternich as soon as possible and entrust him with important tasks......

As for Metternich, although he was reluctant to pay for the money, he also knew that if he continued to occupy this position, something would really happen at that time, and it would be really uncertain. So he had to accept the domestic arrangement aggrievedly and prepared to return to China to serve as foreign minister first, and His Majesty also told him privately that he would definitely be the prime minister of the empire in the future.

It's just that Metternich is relieved, but there is a problem on the Vienna side. Because several nobles with quite a lot of backgrounds are competing for this fat shortage, so that for a while, they can't even choose a new ambassador, but by the end of this month, a new ambassador will definitely come.

Hearing of Rothschild's visit, Metternich met Rothschild in his reception room. Rothschild didn't say much about it, and bluntly told Metternich about the possible collapse of the railroad stocks. Then he said to Metternich: "The collapse of the railroad stocks is inevitable, but it is not necessarily a bad thing. As long as we lay out in advance, we can also use it to make a lot of money. Well, Mr. Beauwan said that a Great Depression is not necessarily a bad thing, and that it is only in a Great Depression that those stocks that are truly valuable will return to their true owners. (This phrase was historically uttered by the American billionaire Morgan Jr.) )”

But Metternich had more to think about than Rothschild, who was not worried about the pot being held on the heads of the Jews, but Metternich needed to think about whether the pot would fall on the heads of Austria. Because he knew that if this thing turned into a big recession, it would probably lead to war. And no one wants to be the target of the French military machine.

"We have to take it slowly, at least until the Bank of Rome acts." Metternich Dao.

"In this case, you will be able to make much less money." Rothschild said, "When the Bank of Rome is gone, with their appetite, there will not be much bargain for us." ”

"Nathan, we're not like you, we have to have more political considerations." "These are chaotic times," Metternich said. You must know that a speck of dust of the times, falling on everyone, even on the head of a country like Austria, is a big mountain. We can't afford not to be cautious. However, the part of my personal wealth that you have helped me represent can be at your disposal. ”

So Rothschild took his leave and left.

A few days later, as soon as the stock market in Paris opened, news came that the "Titan Railway" was preparing to reduce freight rates. Immediately after that, some people began to sell a large number of railway stocks, and the price of railway stocks began to fluctuate. By the afternoon, however, railroad stocks had started to rise again, and by the end of the day, they had fallen slightly, but not very much.

But just after the closing, new rumors emerged: because some banks began to tighten their loans to railway companies, such as Rothschild Bank, which sold its railway claims a few days ago and no longer provided loans to railway companies, more railway companies had to reduce freight rates in order to gain a larger market share.

The next day, before the opening of the market, Kommersant published another article. It is pointed out in this article that there is a systemic risk in railway stocks. The article also pointed out that some railway companies will further lead to the overall shrinkage of the market by means of vicious competition such as price wars.

The impact of this article was immediately apparent after the opening of the session, and although the bulls resisted vigorously, by the end of the day, the railway stocks were down another 10 percent or so.

The following day, however, the situation was reversed, as Kommersant interviewed Mr. Cisse, the general manager of the "French railway company", and Mr. Henry said that the "French railway" had no intention of reducing the price. "We're not going to do that kind of thing that sluts are cheap to themselves," Mr. Cisse said. ”

With this responsible statement of the "French railway company", the market was given another shot in the arm, so on this day in the market, the railway stocks slammed and almost completely regained the positions lost in the previous two days.

However, it soon became clear that people were constantly selling shares of "Railways de France", and the number of them was so large that the shares of "Railways de France" fell slightly when the price of the entire railway stock was rising. If there is one of the railway companies in the best condition, it is undoubtedly the "French railway company". It's unusual to hate such a situation now. So all kinds of rumors have appeared one after another, and many people are saying that there is a big problem with the railway stocks, and now the bookmakers are ready to run away.

Kommersant again interviewed some of the major shareholders of the "French railway company", and they all said that they did not sell the shares of the "French railway company" on a large scale. But this time, the story was counterproductive. After all, everyone is not all stupid, if these guys did not sell a lot, then so many "French railway company" stocks on the market were sold by retail investors?

The situation was reversed again, and the shares of the "Railways de France" took the lead in a sharp decline, and in just one day, the shares of the "Railways de France" fell by 60 percent. Driven by it, the entire railway stock began to fall sharply. By the end of the day, the entire railroad stock had fallen by nearly half.

The next day was even more tragic because of the news from the "French railway company". Declare that they are ready to lower prices and expand their market share. They may have tried to use this method to boost the stock price, but this move has been counterproductive. It is impossible for other railway companies to win a price war with "Railways de France", and once "Railways de France" joins the price war, it is almost equivalent to announcing their death sentences. So the whole railway plate plummeted. By noon, most railroad stocks were less than a tenth of what they were at the opening of the morning.

By the afternoon, the panic had intensified, and people had begun to lose their minds and sell their stocks, many of which were seriously insolvent in terms of the value of their shares. Panic spread from the railroads to the banks, and the stock prices of some banks, which had a lot of railroad debt, began to fall sharply.

By the end of the day, most of the railroad companies' stocks had become scrap paper that was not even as good as the indices of the year. Almost all of them can be sold by the pound. And bank stocks also saw a fluctuation of about 20 percent.

The fluctuation turned into a run on these banks, which were said to have large amounts of railroad stock or debt, the next day. Some banks were suddenly caught in a cash shortage and had no choice but to close their doors. At this time, in order to keep the bank, some bankers had to go to the Bank of Rome, or any other bank that could get cash. Naturally, their equity and debt were then pledged to banks such as the Bank of Rome at frighteningly low prices.

"A market crash isn't necessarily a bad thing." Beauvan said to Jérôme, "Your eldest brother, Academician Bonaparte, once said to me that in the Great Depression it was only those stocks that were truly valuable that would return to their true owners. That's a good saying, it makes sense! At the time of this, Monsieur de Beauvang had just bought back nearly twice the number of shares of the Société de France with one-tenth of the funds he had received from the sale of the shares of the Société de France (SNC).