v3 Chapter 841： Capital game

Chapter 841

"Aluminum futures rose by 1.9 cents last week, with a floating profit of 475 yuan in one lot. We hold 6,500 lots and a floating profit of 3.087500 US dollars last week...

In the US futures market, one lot of advanced copper futures and aluminum futures is 25,000 pounds, and the quotation rule is cents per pound, the smallest unit of change is 0.05 cents per pound, and the daily limit is 20 cents. /lb.

One dollar can be exchanged for one hundred cents.

It seems that the suspension amount is small at 20 cents/lb, but looking at the opening of the New York Mercantile Exchange this morning, the price of advanced copper futures is $0.5890/lb, and aluminum futures is $1.2125/lb.

If the daily limit can be reached, advanced copper futures can double in three days, and aluminum futures can double their prices in about six days.

Think about the futures market price as a guide to the spot price. If the futures price rises sharply, it will promote the spot premium. If the price does not drop for a long time, the impact will be fermented. At that time, the spot price will rise, and the major needs of copper and metal The aluminum factory is heartache.

Therefore, under normal circumstances, for large-scale industrial metals such as metallic copper and metallic aluminum, it is difficult to touch the suspension limit.

After everyone present saw the investment situation last week, Song Yang said to everyone: "Everyone has seen the situation, what do you think?"

Xue He took the lead in saying: "Based on the broader market over the past two months, the high-grade copper futures and aluminum futures rose rapidly last week, and the trading frequency increased by more than 20%. The reasons for the increase have been analyzed. There is news from companies in the industry that copper production in the second quarter fell by 4.5%, and Peru Copper's copper production in the second quarter fell by 5.2%. According to media estimates, global copper metal supply will shrink and copper prices will increase. rise."

"Metal aluminum is similar."

"Our news is much late, so now there is more capital speculation in advanced copper futures and aluminum futures."

"Currently we hold $117.8 million worth of advanced copper futures and $197.03 million worth of aluminum futures."

"The boss once told us that in the next year, high-grade copper futures and aluminum futures will be on the rise. After months of verification, the boss's guidance has been fulfilled. I personally suggest that you don’t need to hesitate anymore and you can let go of large investments. Advanced copper futures and aluminum futures."

After Xue He finished speaking, Ma Kai also stood up and echoed: "I agree with Xue He's analysis. Since we first entered the advanced copper futures and aluminum futures, our total floating profit has exceeded 25 million US dollars. Several months have passed since gold futures and silver futures plummeted. Capital has slowed down, but has been waiting and watching. Now that the price of copper and aluminum is rising soon, it is intuitive that capital will enter again. In the field of rare metal futures, Advanced copper futures and aluminum futures are the most suitable incubators."

Immediately afterwards, Wang Gang, Li De and others, as well as several elites recruited by the Galaxy Fund after taking root in New York, also expressed their views. Although some people have different opinions, the minority obeys the majority. In the end, they discussed and decided to let go and follow up on a large scale.

It's no wonder that they are really too powerful. They not only started speculating on futures, but also used their contacts to greet mining companies, and they let the media spread the news, just like the truth.

With mental arithmetic and unintentional, it is impossible to prevent it. Song Yang, Xue He and others are unavoidable.

...

After the meeting, Song Yang called Xia Yu for instructions. After Xia Yu got to know it, he didn't care too much, and directly approved Song Yang and others' plan.

After getting the approval, Song Yang and the others were all eagerly eager to fight, and then a large amount of money poured into the New York Mercantile Exchange.

Song Yang and others frequently open positions and trade, all of which fall into the eyes of interested people.

Philip Brothers Rare Metals Investment Division.

General manager Albert Raphael walked around on the trading bench and received reports from Harlan Dryden and Sean Andrew. After listening, the corners of his mouth rose.

"Very well, the big fish is hooked!"

Hearing that, senior copper futures department manager Harlan Dryden and aluminum futures department manager Sean Andrew laughed at the same time.

"Yes, boss, it seems that the Galaxy Fund has made up its mind, faster than we expected, it seems that they are not slow to respond!"

"Then shall we implement the next step in advance?"

Albert Raphael shook his head and said: "No, we need more patience. In the next few days, we will continue to raise prices, leaving us more short space, while continuing to deliver part of it."

"Of course, there are too many smart people on Wall Street, and our plan is not complicated, so we must implement it as soon as possible, otherwise we will be the one who is unlucky."

"If the plan is successfully implemented, the empty order will be officially placed on Thursday."

"Good boss~"

"Then give them some more feed to make them fatter, hehe."

After speaking, Harlan Dryden and Sean Andrew immediately went down to arrange them.

In the next few days, the prices of advanced copper futures and aluminum futures on the New York Mercantile Exchange continued to rise.

Not only that, but the related supporting measures have not fallen. Not only Song Yang and others believe it, but also other capital and retail investors also believe it. A large amount of money poured into high-end copper and aluminum futures, which further pushed up prices.

Song Yang and the others are not insignificant, since they made up their minds, they doubled the total investment in just three days.

And the floating profit of nearly ten million U.S. dollars was made just after the investment, which confirmed their analysis.

As soon as Thursday arrived, Albert Raphael gave an order and began to use the Philip Brothers’ small vest to put out a short order to sell the contract. At first, the speed was very slow and very cautious, and the empty order was the same. Planting more than ten or twenty hands, once thrown into the hot market, it was overwhelmed without a bubble.

Immediately after that, the empty orders gradually increased, and they were all eaten by the surging longs.

Unconsciously, the Galaxy Fund has become the majority of the advanced copper futures and aluminum futures markets.

At first, Song Yang, Xue He and others didn't feel wrong.

After all, the futures market is different from the stock market. Shorting the futures market is too common, and it is much simpler than shorting the stock market.

In the stock market, if you want to go short, you must first borrow stocks from the gambling, then sell the stocks, and finally buy them back at a low price and return them to the gambling party.

Looking at it this way, the stock market is a gambling table, and the two parties in the gambling are very clear.

However, the futures market is different. The entire futures market is a huge gaming table, allowing gamblers to buy big and buy small. There is no clear opponent at the beginning, or the opponents are too wide.

The bulls believe that the price of the futures contract will rise, so they have been opening positions to buy contracts.

On the other hand, a short position believes that the price of the futures contract will fall and sells the contract held.

And what is different from the stock market is that short positions can be “made out of nothing” to sell short.

What is "being out of nothing"?

That is, I don't have a futures contract, but I want to make short selling, what should I do?

Then "borrow" from the exchange, sell the futures contract after "borrowing", and then wait until the price drops before buying it back to the exchange.

Although I borrowed the futures contracts of the exchange, what I actually made was not the money of the exchange, but the long money. The exchange was just like a platform.

But what if going short or long fails?

At this time, the margin placed on the exchange will be consumed, and the amount of margin is different.

For example, for a certain type of an exchange, when the contract position of a single month is less than 200,000 lots (total long and short), the margin is 5%, and from 200,000 to 300,000 lots, the margin ratio is 8%, 30 From 10,000 lots to 400,000 lots, the margin ratio is 10%. From 400,000 to 500,000 lots, the margin ratio is From 10,000 to 600,000 lots, the margin ratio is 20%... . And so on.

In theory, as long as the margin is sufficient, positions can be opened indefinitely.

In the final analysis, the futures market is a purer capital game than the stock market, and it values ​​the hard power of shorts and longs.

A seesaw depends on whose weight is heavier!

Of course, in addition to the efforts of people on both sides of the seesaw to gain weight, there are also uncontrollable external factors that will affect it.

In the futures market, strength and luck are both important!

It was Monday again in a blink of an eye.

Just seven days later, it was also Monday.

But the mood of Song Yang and others was not as relaxed as last week.

Therefore, the situation of the high-end copper futures and aluminum futures on the New York Mercantile Exchange seems a bit bad for them.