Chapter 351: Tight Situation Ahead
【Xie Jingxing: See you today in the stock market! 】

In Beijing, time skipped Sunday and came to 1:00 a.m. on Monday.

The deputy editor-in-chief rushed into the editor-in-chief's office with a freshly printed manuscript: "The title of the exclusive interview report has been decided. The new media editorial department will first send this title to major Internet platforms, and the exclusive interview article will be published in the morning."

"Have you communicated with the People's Daily? Don't let the report content conflict with others." Amid the noise, a colleague holding a teacup stood up and reminded.

Someone in the corner raised his hand and said, "We've communicated and there's no problem."

"Xie Jingxing originally said that he would enter the market this week. Isn't this title inappropriate?" the editor-in-chief shouted.

"The China Securities Regulatory Commission has officially announced that all new IPOs will be suspended indefinitely to maintain the stability of financial market liquidity."

Without waiting for a reply, another person trotted in: "And approved the increase in value of the Securities Finance Corporation's shares, and increased its registered capital from 240 billion to 1000 billion. Does this count as 800 billion in cash to save the market?"

"Tonight, the central bank announced that it would provide unlimited liquidity support to China Securities Finance Corporation. This good news means that the 800 billion in cash is just the beginning, and China Securities Finance Corporation will have unlimited funds in the future!" explained the colleague holding the teacup.

Amid the noise, the deputy editor-in-chief walked quickly to the editor-in-chief and said, "Just publish this headline. We need to prioritize the priorities. According to the instructions from above, we must maximize the positive effects."

The editor-in-chief remained silent helplessly and continued to work. Time was too tight. Xie Jingxing only gave them and several official media outlets including Renmin Daily and Economic Daily two hours before coming to Beijing for a meeting yesterday afternoon.

The interview materials they received were limited, and in fact they knew less than the well-informed retail investors, yet they were required to issue a full-page interview report this morning.

Not only is it easy for reporting content to conflict with others, but rigor is also a complex and difficult challenge.

For example, they do not understand how exaggerated the meaning of the unlimited liquidity support provided by the central bank to securities funds is.

The deputy editor-in-chief was also confused, but he understood the spirit of his superiors. So far, all the sister units have been smoothly implementing the rescue plan formulated by the China Securities Regulatory Commission.

The propaganda department needs to do two things. The first is to push various positive news that emerge after the news broadcast into the market to maximize the boost to market sentiment.

Second, we need to clarify the order of priority. It was Xie Jingxing who, on behalf of social capital, first took out 3000 billion yuan to invest in the stock market for industry self-rescue, and then administrative forces entered the market on a large scale to rescue the market.

This young financial leader is now a fig leaf, a symbol of the openness, professionalism and marketization of the domestic financial industry.

So it doesn't matter when he enters the market this week.

"Hey, the original provincial propaganda report was withdrawn, and their local leaders called me several times."

"Both the main and secondary pages are needed, it's useless for anyone to call."

Amidst the chaos, at the insistence of the deputy editor-in-chief, the Weibo account published the title of Xie Jingxing's personal interview at 2:00 a.m., and all social media platforms including Toutiao and Zhihu synchronized the news.

——Xie Jingxing: See you today, stock market!
Many official media outlets including People's Daily and Economic Daily followed up, and after secondary dissemination through mainstream authoritative media such as Phoenix.com, Xie Jingxing's name was everywhere overnight.

The media machine is running like crazy, and the wind it brings is enough to knock the hottest stars off the stage. Today, the young leaders of the financial industry have reached the top of the market in the spotlight of the world.

…………

"Just as suddenly as one night the spring breeze came, and thousands of pear trees blossomed!"

At 6:30 a.m. on Monday in Jilin Province, the financial stabilization team checked into the guesthouse. The team leader sat in the cafeteria, looking up at the news replay on TV and sighing with emotion.

He ate up the bowl of porridge, two fried dough sticks and a few plates of pickled vegetables, completely ignoring the health care doctor's advice to control blood sugar and avoid excessive salt. The depression he had felt for the past few days was swept away.

Different angles lead to different perspectives. After watching the news last night, his first thought was not that the market was saved, but that an inestimable businessman had emerged under his rule.

To accomplish all this in just a few days, the energy required to coordinate the manpower and material resources of all parties is beyond the imagination of ordinary people. The team leader felt that he couldn't even dream of it...

It must be said that heroes are made by the times, and the current stock market crash requires such a person to stand out, and Xie Jingxing happens to have a good family background and meets all the necessary conditions.

"Old He, what do you think? There is nothing to say about this in your academic circles, right?" The team leader couldn't help but joked when thinking of this.

The deputy team leader, who was a technical person, shook his head and smiled bitterly: "There are still some. We can only say that the impact of the violent rescue of the market by administrative power has been reduced to a minimum."

"Neither this nor that will work. We who do administrative work are always unpopular." The team leader wasn't angry, he was just annoyed.

The deputy team leader remained noncommittal. The greatest value of Xie Jingxing bringing 3000 billion yuan of funds to rescue the market is to prove that the market has hit rock bottom and that it must be rescued and that there are opportunities to make money. Therefore, it is reasonable to a large extent for administrative power to enter the market to rescue the market.

Otherwise, what would the shareholders who lost money think if 21 securities firms cooperated with the authorities to come up with 1200 billion to rescue the market?
The police are arresting people, and the exchanges are suspending trading and restricting transactions. It’s direct and effective, but what do investors think?
Ultimately, it is not about pleasing the academic community but about pleasing the market. Any direct intervention in the market by any regulatory force will make capital feel insecure, and when capital feels insecure it will curse and run away.

The U.S. invented the circuit breaker method during the stock market crash in the 08s, but was still criticized. The complete lack of market regulation will inevitably lead to the financial crisis in .

The domestic financial industry still has a long way to go, and the most important thing is to be able to win all the time.

Wall Street has been scolded for hundreds of years, but capital still hasn't learned its lesson and keeps scolding instead of running away. The reason for this is that it is already the most profitable market in the world.

"Let's see how far the market will go. As long as the stock market crash subsides quickly and Xie Jingxing can make a penny, this rescue operation will be considered pleasing." The deputy team leader said in a gloomy tone.

The team leader didn't care. It was not his concern. After watching the news, he wiped his mouth and walked out of the cafeteria leisurely.

"Boss, the China Securities Regulatory Commission has issued a document restricting listed companies from resuming trading." The secretary came forward to report.

His good mood disappeared halfway, he stopped and frowned and asked: "How many companies in the province have applied for resumption of trading?"

“None at all. Two others submitted suspension applications over the weekend and were approved.” The secretary couldn’t help but grin.

The team leader immediately glared and wanted to curse, "That guy is like a mother, it's really too much!"
When thousands of stocks hit the daily limit, listed companies were thinking of suspending trading to avoid disaster. The China Securities Regulatory Commission was worried that the market liquidity crisis would be further aggravated, so it restricted companies from suspending trading.

As the market opened and rescue funds rushed in, the China Securities Regulatory Commission made a 180-degree turn, fearing that the resumption of trading of listed companies would dilute market liquidity.

When the suspension of trading was restricted, the listed companies in first-tier cities were suspended without restriction. The listed companies in our province could only withstand the sharp drop and it was extremely difficult to suspend trading. As a result, now that it is time for the stock market to rise and counterattack, why did they suspend trading for two companies? !

"Just stop it. Market sentiment is still unclear, and resuming trading may not be a good thing."

The team leader took a deep breath and calmed down: "We must pay attention to Mr. Xie's valuable suggestions."

"That's right. When President Xie and the national team come in to rescue the market, they should focus on blue-chip stocks. By then, the market will be polarized between large-cap stocks and small-cap stocks. It's okay for us to seek stability."

The secretary hurriedly praised the boss for his wisdom. It seemed that Xie Jingxing's suggestion at the airport the night before that the stock should be suspended and not revealing any details of the rescue plan was itself a disclosure.

The team leader forced a smile and said, "At the critical moment, our own people can still lend a hand. Say hello to the comrades in the propaganda department and publicize Mr. Xie's contributions to his hometown and the country."

The deputy team leader said that if Xie Jingxing could make a penny from this rescue operation, it would be pleasing. He was not interested in thinking about it carefully, but if this rescue operation was all right, what kind of status should Xie Jingxing, who was already a legitimate family, be elevated to... make contributions to the country... hey, a tested and certified leader in the financial industry...

Seeing that there was still an hour before the stock market opened, the team leader limped into the car and headed for the Yunshan Group headquarters in a low-key manner. He wanted to ask his old friend for a cup of tea and witness together his son giving his father a perfect interpretation of "the disciple is better than the master".

…………

"Shit! It opened 5% higher, close the short order quickly."

Hangzhou, at 9:30 am on Monday, in a holiday villa located in a scenic area, a private equity manager with red eyes roared with trembling lips.

“I can’t close the order. I can’t close the order. The price I shorted last Friday was too low.”

The trader sitting in front of the computer was typing away on the keyboard with a terrified expression. The computer screen showed that the short order was in queue, but it could not be sold.

There are too few buy orders and too many sell orders, and no one buys the short orders. When the market opens, the bulls and bears fight each other. In an instant, the bears are cornered, and if the price continues to rise, the positions will be liquidated and everything will be wiped out.

"Backhand to lock the position and go long."

The private equity manager gritted his teeth and made a well-prepared operation order. Several traders immediately bought long orders for stock index futures, pushing the stock index to continue to rise. At the same time, they watched the losses of the short orders they held gradually expand.

Just because the market ignored the favorable factors and plummeted last week, which gave him confidence, he actually opened a short position at the low point at the end of Friday and held it over the weekend. This was an extremely brain-dead operation in the ultra-short-term speculation of stock index futures.

But there is a saying in the market that there is a fine line between cerebral palsy and godly operation, just a fine line.

The private equity manager clenched his fists and stared at the market trend with his body shaking uncontrollably. Until last night's news broadcast, he was just one step away from a great victory.

However, last night's news broadcast was the clarion call for the bulls to attack, with good news bombarding in. A single sentence from the stock market today caused the market to open 5% higher.

Even though he never lacked the mentality to correct his mistakes, it was useless at this moment. He could only buy long orders to hedge and stop losses, and then watch the short orders' losses expand and expand until they were forced to close...

"Hey, boss, we are operating."

A shrill cell phone ring sounded, and the private equity manager quickly walked to the corner to answer the call.

"I'm watching the market. It opened 5% higher. Is it going to be liquidated? Do I need to replenish funds?"

"No, our positions are very healthy and we are very safe until the market rises back to 4000 points."

The private equity manager's back was covered in cold sweat as he repeatedly emphasized that there was absolutely no problem. His boss was a big boss in Beijing with a strong background, and the fund investors were a group of Shanxi coal bosses who retired and fled to Beijing to make a living.

It's not easy to take the coal boss's money, and it's even harder to earn the boss's money. It sounds like concern, but real losses can cost lives.

"According to my information, the relevant departments have started to arrest people. You'd better be careful and not to be too conspicuous." The person on the other end of the phone reminded with satisfaction after knocking.

The private equity manager sneered in disbelief: "Ha, arrest someone, why not arrest Xu Xiang?"

"Also, the exchange will immediately issue temporary regulations to restrict short selling operations. You can only go long, not short. The announcement will be issued at noon at the latest. It's up to you to decide." The boss was too lazy to comfort him and continued talking.

The private equity manager scratched his head, forcibly resisting the urge to curse and violently intervene in the market, and responded respectfully: "Okay, I understand."

"Work hard and clean up the positions this week. We've made a lot of money already and we'll close the shop as planned." The boss then announced the orders.

The private equity manager was carefully organizing his words: "As the country is serious about rescuing the market, the basic situation has been determined. Can we buy the dip and go long?"

“Oh, who told you that the situation has been settled? It will take two days for Xie Jingxing’s money to enter the market.”

The boss paused and added: "You understand the market but are too far away from the center of the news. There are some things you shouldn't listen to. Just watch, many people are not full."

"Okay, boss, let's continue shorting!"

The private equity manager hung up the phone with shining eyes. He didn't know what the second half of his boss's sentence meant, but the first half was very interesting.

The fools who cannot distinguish between the primary market and the secondary market are cheering for the man-made savior hero.

When they find themselves mustering up the courage to rush into the market to follow the savior hero, but the latter has not even put on his sword and walked out of the house, "See you today, stock market." Is it good news or bad news?

"It's fallen. The upward trend is weak and is about to turn downward."

At 9:45, the market index opened high and then fell back. The decline was not fast but firm, drawing a slow, regular and beautiful underline on the computer screen.

The ups and downs have brought traders' mentality to a higher level. The private equity manager calmly said, "Close the long orders, hold one-third of the positions in short orders, and roll short one-third of the positions to kill the longs."

…………

13:50, Juntai Securities headquarters, securities market trading floor.

"Someone is dumping the market, it must be one of our rescue funds!"

The young man leaned half of his body and spoke in a hateful tone. After he finished speaking, he quickly sat back up, grabbed the water cup, and pretended to drink water to cover up his guilty conscience.

The Stanford University logo printed on the water cup has been rubbed out by daily use and is no longer clear. He Qinshan no longer uses university-related items to show off. He is now purely frugal and spends his money carefully.

Qi Tian complained in his heart, rubbed his temples and said, "What are you afraid of? These grandsons dare to do it, and we can't say anything?"

"Brother, don't do stupid things. How do you know it's not our company's brokerage business that's crashing the market?" He Qinshan raised his hand and pointed at the ceiling.

Qi Tian didn't know what to say for a moment. The rescue of the market by 21 securities firms was carried out through the proprietary business department where he and Bi Wang were currently working. The two of them were assigned the task of buying a total of 30 billion yuan of "PetroChina" and "Sinopec" stocks today.

The overall idea of ​​rescuing the market is to boost the weighted blue chips and drive the overall market index upward.

Everything was fine at the opening in the morning. CITIC Securities took the lead and led the charge, while other securities firms followed suit, performing their respective duties.

However, while the 21 leading securities firms were rushing upwards, another 100 securities firms not only did not rush upwards, but also took the opportunity to sell their shares and run away, completely treating them as the ones who took the losses.

From this morning till now, the bulls and bears have been completely mixed up, with no distinction between you and me. Qi Tian and Bi Wang are buying to push up the price of PetroChina, while on the other side there are a large number of sell orders to smash the market.

If the selling volume is so large that it can be seen with the naked eye, it must not be retail investors. Who else could it be? Colleagues from CITIC, Juntai’s brokerage business, or other securities firms…

"The situation is tight in the front and in the back. We can't fight this war. I feel sick for Boss Xie." He Qinshan put down his water cup heavily and sighed.
(End of this chapter)