Chapter Seventy-Eight: Putting Printing Money on the Earth
Monday.
Jinyuan International is ready again to enter the North American exchange to fight.
1.7 million, amplified by 265 times leverage, the total amount is as high as 450 million US dollars, according to the market price of 5,000 yuan to cut an arm, this converted into 3.78 billion yuan of funds, can buy 756,000 arms, adding at least 378,000 disabled people.
Or, if you invest this money in the unlimited cause of eating meat, you can buy 200 million kilograms of beef, which weighs 200,000 tons, and can crush an aircraft carrier, or make a person eat it for 200,000 years......
So much money, in a traditional stock trader, is already a bit of a pass. After all, they are cautious in their use of leverage, often speculating with their own funds. And in futures trading, where 10x leverage is often used, $450 million can also attract a small amount of attention.
If it weren't for the monster world of Wall Street, this amount of money would even be able to make a small banker and reap the benefits of a fisherman - of course, if it weren't for the monster world of Wall Street, it would not be able to get 265 times leverage.
Before the market opened, Chen Yi did not expand the scope of hunting as others imagined.
Instead, he narrowed down his target exchanges to two, the New York Stock Exchange and the Chicago Mercantile Exchange.
This approach, although it is not possible to better seize the opportunity of high arbitrage, thereby reducing the profit margin. However, it can effectively reduce the unit workload of the "Kraken" and increase the exchange rebate.
At the same time, due to the increase in the amount of funds, as long as the Kraken can maintain the fastest speed, then in these two exchanges, it can still be wind and rain.
The "beep" sound of the opening of the conference call sounded, and Tang Xiongfei shouted passionately: "Mr. Chen, we are all ready." In addition, the New York Stock Exchange promised us a 3-point rebate as long as the turnover rate reached 1 million shares in a day. ”
"22 cents per 100 shares?"
"Yes, at least $220,000 a day." Tang Xiongfei looked back as he spoke, and there were only 3 people in the room, including him and the accountant, and he didn't know if he needed a salary of 200,000 US dollars a year. That's how much the boss counts in a day......
However, his psychology is very balanced, without the boss, he is still struggling in Jiangning, where does he feel like he is in the middle of the Wall Street.
As a matter of fact, all people who have received a normal education will recognize the value of capital, and only a few sensationalist followers will fail to see the significance of capital, and all the risks and intellectual investments invested in capital will be counted as "surplus value" -- where in the world is there any surplus value -- facts have proved that without those who work hard, those who work hard will not be able to eat enough to die of exhaustion, and without capitalists, those who will eventually die of exhaustion and starvation.
Chen Yi is also quite excited about 220,000 US dollars, calculating 1 million shares is not much, mainly to seize the opportunity of the market, after all, in the absence of market fluctuations, the turnover rate of institutions such as the New York Stock Exchange is not very high. Otherwise, they don't have to rush to catch high-frequency traders to enter the market.
"We're here for the New York Stock Exchange today." He decided to narrow down the scope again, and intensive cultivation is the inevitable choice after the increase in the amount of capital, otherwise no matter how good the supercomputer is, it will not be able to exhaust all the opportunities to make money in the market. In contrast, the rebates on the exchange are relatively more stable.
"It's ......" the trader suddenly shouted, ignoring the orders of the boss and others, and took the lead in clicking the mouse and announcing the entry into the market.
"Kraken" enters Wall Street.
Tang Xiongfei stared at the trader, but in fact, there was no point in looking. The so-called lightning trading is as fast as lightning, everything is handled by the computer, and people only need to determine the strategy.
The trader had already completed the preliminary preparations, only to see the screen constantly beating to buy and sell stocks, and there was no need to do anything at all.
"10,000 shares." It was only two minutes before Tang Xiongfei shouted.
"20,000 shares."
"30,000 ......"
Chen Yi looked at it calmly for a while, and felt that Tang Xiongfei was too noisy, so he simply said: "Go to the bank and tell you that you need at least 500 times leverage." ”
Tang Xiongfei wilted all of a sudden, and whispered: "Boss, I even looked for the Bank of New Jersey, these snobs are very demanding......"
"In two hours, you go to Mellon and inform them that if they can't give us 300 times leverage, we will use another bank's."
"Which bank's?" Tang Xiongfei was ignorant, waited for a while, and then understood, and suddenly shouted: "Boss, other banks only give 200 times leverage, and Mellon is willing to give 265 times is already very good, if we leave Mellon , what will we do." ”
Chen Yi snorted and said, "You just have to tell them." ”
Flash trading, or high-frequency trading, is bound to be the way forward.
Golden Resources International has proven their potential, and it's time for the banks to scramble.
Ignoring Tang Xiongfei's efforts, Chen Yi continued to drink ginseng energy recovery potion tea with his legs crossed.
He knew very well in his heart that a demon-level supercomputer like the Kraken might not be able to install one on Wall Street in three years, let alone popularize it.
Even if it is a non-complete Siren, it is still one of the most powerful supercomputers in the entire world, and its existence is the greatest capital.
New York mornings are unusually quiet.
The gentlemen of Jinyuan International silently accumulate trading figures and profits, and every time the accountant settles an account, the new profits will be injected into the bank's margin, so as to leverage more money for speculation.
This method of calculating compound interest is dangerous and exciting, and it comes much faster than winning or losing in a casino.
It should be said that this is the largest casino in the world. In comparison, the brutal and rough Las Vegas is more like a child's thing.
At 2 p.m. Eastern time, gentlemen familiar with the NASDAQ market already knew that a new small brokerage firm of Gold Resources International had joined their ranks.
With a turnover rate of 100,000 shares per hour, it is natural to have a relationship with other traders. However, for gentlemen who are familiar with the ecology of Wall Street, it is natural to add new blood.
William Mellon, from the investment department of Mellon Bank, was the first to get the information from Jinyuan International. He checked the details of the transactions using his own funds as leverage one by one, put it down for a long time, and instructed the secretary: "Please invite the manager of Jinyuan International to have coffee." Tonight. ”
The secretary obeyed the order and left, and William knocked on the table there, thinking desperately: "Haven't you heard that the New York Stock Exchange has new side-by-side service providers joining, and their computers seem to be a little too fast?" ”
The so-called parallel server provider simply sets up its own server next to the supercomputer of a trading center, and connects the two with optical cables, so as to omit even the time consumed by a short physical distance.
The benefits of this are very obvious, the supercomputer of the trading center transmits trading information to the screens in the lobby, personal terminals and parallel server vendors. Undoubtedly, the processing speed of the latter is tens of thousands of times faster than the first two, allowing side-by-side service providers to obtain new transaction information longer in advance, thereby increasing profits and reducing costs.
However, the major exchanges also have their own ledgers, although at the expense of the interests of retail investors, they firmly bind the parallel server providers to their own doors, especially the fees of hundreds of thousands of dollars, which is the most naked distribution of interests.
After thinking about it for half a minute, William immediately pressed the button on the desktop and said, "Jenny, please ask Mr. Robert from IBM to come and say that we want a faster computer." ”
"Faster?"
"That's right." William let go of the button before he said to himself, "Always be the fastest person in the market." ”
However, he would not have guessed that Jinyuan International's computer is one of the top 10 super products in the world.
It's hard to buy.
At the same time, the investment department of Bank of Merrill Lynch is participating in the feast of Wall Street as a high-frequency trader.
Catherine, as the deputy general manager, "just happened" to make the round, wearing a beautifully fitting purple suit, holding her newly adopted boyfriend, Father Marc - a very strange and atmospheric profession.
The head of the investment department is an old subordinate of the president, and he is also very familiar with Catherine, and several people introduce the work of the investment department while walking.
The so-called "deputy general manager", the term general manager is purely false, and "deputy" is true.
Catherine, who has just returned from her MBA at Copenhagen Business School, has an internship at Merrill Lynch Bank on her side hustle, in addition to continuing her previous romantic main business.
Of course, this kind of internship is carried out in a rather high-end and happy way, as can be seen in the title of deputy general manager.
A trader was busy working in front of the computer, and Catherine valued the other party's upturned little butt and walked over without hesitation. His Excellency the Minister also said there: "This is our most advanced high-frequency trading system, and the main functions are ......"
"Where are you from?" Catherine didn't listen to him at all, and her arm touched the trader's shoulder, and then the arm......
“…… Georgia. ”
"It's nice, I love Los Angeles."
“…… Los Angeles in California. ”
Catherine decided to change the subject, put both hands on his shoulders and said, "How often do you go to the gym?" ”
The trader's face darkened, and he moved his body uneasily and said, "Go every week." ”
Marc felt that it was time for him to come forward, and although he didn't really think so, he pointed to the screen and said, "This is your trading system?" ”
"That's right, at least 500,000 shares are traded every day, and the rebate from the exchange alone is more than $100,000, and we use three side-by-side mainframe computers to ......" The minister finally felt a little relieved, and he did not pause to speak.
He immediately pointed to the screen and said, "It's divided into two parts, the lower part you see now, is the normal stock price, the red represents the up, and the green goes down." And in the upper part, it is to show our profitability, white is not a profitless trade, in order to earn a commission on the exchange, yellow represents a loss, now we can't see it, because we have almost no loss, the same blue is our favorite color, which represents a profitable trade......"
"What's that orange?" Marc asked suddenly.
The minister poked his hand at the screen and said with a smile: "Orange is not good, we must be vigilant, it means that the order we are about to trade is snatched away by other high-frequency traders first, and generally there will be no such thing." ”
Marker wondered, "These are oranges, aren't they?" Or the color of the monitor ......"
The minister had already turned his head, and there was a fine and dense sweat on his forehead.
The entire upper part of the screen is almost entirely covered in orange.
……
(To be continued)