City: Become a principal from junior college!

The vast majority of domestic netizens and investment institutions believe that Xingchen Students is bound to fail this time.

I wasn't too surprised by this.

After all, the investment market is like this. Even top investors can fail, let alone a group of students.

In the investment market, nothing goes smoothly.

It is obvious that Xingchen students still need to be educated by the market.

……

For a time, many people on the Internet advocated crude oil futures.

Instead, it attracted many netizens to buy it, thinking they could make a fortune.

But it was only two days later.

The price of crude oil per barrel fell from fifty dollars to forty-five dollars.

Suddenly, there was widespread grief.

Many netizens who entered the scene because of public opinion were extremely distressed.

They basically invested fifty dollars in the game, but now they are losing five dollars per barrel.

If you hold a lot, this decline may result in a loss of tens or even hundreds of thousands of dollars.

Some people even believed that crude oil prices would rise and confidently increased their leverage, which led to their positions being liquidated.

At this point, many netizens who invested in crude oil were a little panicked.

Is crude oil really falling?

Could it be that the Star Student’s prediction was correct this time?
Xingchen students shorted 20,000 barrels of crude oil. Now that the price of each barrel has dropped by five U.S. dollars, it means that Xingchen students have directly made a profit of one hundred thousand U.S. dollars.

Will crude oil continue to fall?
Do you want to follow the example of Star Student and short the crude oil market?

Some retail investors in the market are showing signs of anxiety.

But at this moment, most investment institutions are calm.

In a futures market with such large fluctuations, a drop of only five dollars is normal.

Having experienced many ups and downs before, they didn't take it seriously at all.

Everyone thinks that the price of crude oil will definitely go up soon.

He also believed that the small profit that Xingchen students made now was just due to luck.

Many senior economic experts have spoken out to stabilize market sentiment: "US$45 is actually the long-term stable price of crude oil, but it is no longer the case. In the industrial age, the demand for crude oil will only increase, so it will go back up in two days."

“So this is actually an opportunity to increase your position…”

When many retail investors saw the experts’ speeches, they no longer hesitated and agreed with them.

Indeed, falling crude oil prices are a good thing.

The whole world needs crude oil. Forty-five dollars is definitely the lowest point and it will rise soon.

If they buy crude oil futures at this time, they can definitely make a lot of money.

As a result, market enthusiasm has become even higher as crude oil prices have fallen.

Many retail investors are shouting to increase their positions, buy, buy, buy, the opportunity to get rich is right in front of them.

As for Xingchen students, they are making money now.

But everyone who has played cards knows that those who win money at the beginning of the game are likely to lose all the money they won afterwards.

Winning money like this is not really winning at all.

Unless Xingchen Students stops short selling now and takes the money and leaves.

Otherwise, the money earned now will definitely be lost later.

……

At Xingchen Academy, Chu Guang also received reminders from many classmates and family members, who all believed that Chu Guang should quit while he was ahead.

But Chu Guang looked at the investigation report made by his group members.

I firmly believe that the drop of crude oil to $45 is just the beginning.

Chu Guang's father also plays stocks. It can be said that Chu Guang's interest in the financial industry is generally due to his father.

His father also advised Chu Guang to stop short selling now and quit while he was ahead.

Chu Guang was still willing to say a few more words to his own father.

"Dad, we checked the data, and everyone believes that crude oil will continue to fall. But Dad, you should not get involved..."

"We are using the money we earned previously, so even if we lose money, it's not a big deal. We can just close the position."

"You should just play with your stocks. I suggest you invest heavily in Moutai, because our teacher is also optimistic about this stock."

Chu Guang was very clear about his father's level.

If my dad hadn't speculated in stocks, our family would have lived in a villa long ago.

Dad has really made so many contributions to the country.

So he advised his father not to play with futures and recommended a stock to his father.

But Chu Guang's father was extremely dissatisfied with his son's kindness.

I have been trading in the stock market for twenty years, and those experts all said that $45 was the lowest point.

The son had only been in school for a few years, but he already dared to challenge his father's authority.

Besides, Moutai is so expensive, how many people can afford it?

Now that public spending on food and drink is restricted, Moutai will sooner or later become unpopular.

Buying Moutai stocks is a waste of money.

So, Lao Chu decided to join the game himself.

So he took some effort and bought $10,000 worth of crude oil futures.

At this moment, his face was full of a confident smile.

I planned to wait until my son suffered a loss and then show him the profit statement.

Let your son know what it means that age is always the best, your dad will always be your loser!
But soon, Lao Chu was in trouble.

It was only the second day.

Crude oil prices fluctuated again and plummeted by another five dollars to forty dollars.

Old Chu's ten thousand US dollars was reduced to only eight thousand eight.

Old Chu couldn't help but twitch his mouth when he looked at this situation.

Damn, didn’t these experts and professors say that $45 for crude oil was the lowest point?

Why did it fall again the next day?

A loss of more than a thousand dollars is not a big deal, but it is too embarrassing.

The son makes money while I lose money, right?

If his son knew this, where would his father's dignity be?

Lao Chu couldn't help but want to sell the futures and pretend nothing happened.

But when he checked the information online, he immediately changed his mind.

Netizens on the Internet are also discussing the further drop in crude oil prices today.

However, there is no panic in the market.

Some experts and investment institutions have spoken out: "The cost of crude oil extraction is there, and the extraction cost determines the oil price, so it is definitely impossible to be lower than 40 US dollars a barrel. This is already the lowest point. It is recommended to increase holdings..."

And those retail investors on the Internet also particularly agree with this statement.

The oil field is not a philanthropist; the costs are there.

So forty dollars must be the lowest point and it is impossible to fall further.

Even more retail investors believe that the market has reached an all-time low and this is a good opportunity to make a fortune, so more people are pouring in.

Lao Chu is one of them and he also believes that oil prices cannot fall any further.

So I thought about it.

I chose to increase my position directly and invested another 10,000 US dollars.

The purchase price is lower this time, and you will definitely make more money then.

……

However, the next day, when Lao Chu, who was expecting something, opened his computer, he saw crude oil at thirty-five U.S. dollars a barrel.

Lao Chu’s eyes widened again!
Why did crude oil prices fall again?
Isn’t forty dollars the cost price?

How can it still fall?
Don’t the capitalists of foreign oil fields intend to make money?
He lost almost two thousand five hundred dollars that night, which made Lao Chu feel distressed.

After all, as an executive of a large company, although he has made a lot of money over the years, most of it is managed by his wife.

Because I occasionally have bad luck in stock trading, my wife is willing to leave me less and less money for stock trading.

Lao Chu felt distressed as he lost more than 10,000 RMB in one night.

Old Chu already agreed with his son's words.

The waters of futures are very complicated, and I really may not be able to handle it. Why not try A-shares instead?
But when Lao Chu joined the investment groups that he often visited and saw the heated discussions among netizens, he immediately dismissed the idea.

The recognized expert in the group said confidently: "Thirty-five dollars is definitely the lowest point, because the cost of extracting shale oil in the United States is thirty-five dollars."

"If the price of crude oil falls below $35, all shale oil companies will go bankrupt overnight."

"Do you think Trump will bankrupt his own shale oil company?"

The stock friends in the group also particularly agree with this.

Thirty-five dollars is definitely the lowest point. This is a once-in-a-lifetime opportunity to enter the market.

At this moment, the stock friends who had been lurking couldn't help but become excited and decided to get on board.

And Lao Chu felt that everyone was right.

Trump has been calling for making the United States great again, which will certainly not allow shale oil companies to go bankrupt and will not allow crude oil prices to continue to fall.

If the King of Understanding takes action, crude oil prices will skyrocket immediately!
I have lost so much money. If I sell the futures now, I will suffer a huge loss. But if I continue to hold on, I don’t think I can make back all my money.

No, I want to earn more.

I need to prove my investment ability to my family and set an example for my son.

So Lao Chu gritted his teeth and took out the private money he had saved at the bottom of his box.

I put in another $10,000.

Happily waiting for the crude oil price to rise.

……

However, another day passed, and looking at the crude oil prices in the futures market, Old Chu was numb...

Crude oil fell again, to thirty dollars a barrel.

Where is the King of Understanding?
Aren't you great again?

Didn't you go play golf yesterday?

Old Chu was very panicked.

The entire network was also somewhat panicked because of the historically low price of crude oil.

However, financial news and experts have come out and said: "Don't panic, this wave of historically low crude oil prices is caused by the sluggish global demand for crude oil, but this is definitely the floor price and it can't go any lower."

Many retail investors who had been holding back also felt that the price was ridiculously low and could not possibly go any lower.

Many people are eager to enter the futures market.

Old Chu felt a lot more at ease after reading these remarks.

It will definitely go back up in a day or two at most.

But Lao Chu did not purchase any more shares today, mainly because he had no money.

……

But another day passed.

The price of crude oil fell to twenty-five dollars.

Lao Chu felt a little pain in his heart and began to consider whether he should cut his losses and leave.

But there is big news today.

The whole network is posting about it. It’s the Trump administration that tweeted, saying that an agreement has been reached with OPEC.

Lao Chu checked and found out that OPEC is an organization of major oil-producing countries in the world. Trump reached an agreement with them to reduce oil production together.

This made Old Chu feel relieved.

As a senior executive of a large company, Lao Chu naturally understands the relationship between supply and demand.

The supply of oil has decreased, but the demand has not changed.

Then the price will definitely go up.

It's stable now.

Lao Chu silently gave a thumbs up to the King of Understanding and decided to continue holding the futures and wait for the return of his investment.

……

Yet another day passed.

Old Chu looked at the crude oil futures prices on the screen and felt numb...

It fell another five dollars, to twenty dollars.

Isn't this a bit outrageous?
Should I just run away? That way I can at least have some money left over from the 30,000!
However, Lao Chu soon read the news that made him feel at ease.

A well-known expert posted on Weibo that $20 is the lowest price in the history of the crude oil market and there is definitely no room for further decline, so he suggested getting on board.

A large number of investors are also attracted by this price and they definitely cannot miss it.

Lao Chu also thought it was right and even wanted to borrow money to increase his holdings.

……

Another night passed and Lao Chu turned on his computer.

This time, Lao Chu felt that he had seen it wrong.

Why did it fall again?
Is fifteen dollars too much?
Domestic oil prices still start at eight yuan.

A barrel of oil only costs fifteen dollars?
Where do you put my three barrels of oil?

Besides, didn’t that famous expert say yesterday that twenty dollars was the historical bottom price?
Why did it fall again?
Lao Chu went to the expert's Weibo and saw that the expert had already started to defend himself: "The $20 bottom price I mentioned is Brent, not WTI..."

Lao Chu checked again.

It turns out that Brent is the futures market in London.

And WTI is the futures market of the United States.

It turns out that we understood it wrongly.

Lao Chu nodded, feeling a little numb.

Anyway, at the price of fifteen dollars, Lao Chu doesn’t want to sell it because the sunk cost is too high.

Let's wait for the price to go up.

Lao Chu was numb, but more investors went crazy, thinking that the price had reached the bottom, and came with money to buy at the bottom.

……

Another day passed.

When Lao Chu saw the price of ten dollars, he skillfully opened the web page to see the expert.

Sure enough, a new expert came out to explain: "It is near the delivery period, it is normal to see fluctuations, and it will rebound soon."

Lao Chu no longer wanted to guess whether it was true or not.

He had lost almost all of the 30,000 U.S. dollars he invested.

So whether it is true or not, just wait and see.

And today, more investors are pouring in, shouting that they will make a profit if they buy.

……

Another day passed.

Five dollars. Old Chu was completely stunned when he saw the price.

Some experts are saying: "The oil price inversion cannot be sustained, it will soon increase."

I bought it before, and it’s full of misery.

But another group of stockholders rushed in, shouting: "This is the real bottom, it has fallen below the cost of the big dog investors, if you don't buy it now, you will miss it!"

Lao Chu closed the webpage silently.

But I also feel that five dollars should be the lowest price. I can't give it away for free, right?
……

Another day passed, and Lao Chu turned on the screen with anticipation in his heart.

Do you think it’s time to increase?

But when he saw the numbers on the screen clearly, Lao Chu felt dizzy...

What's happening here?
Could it be that my network has been hacked?
Or is this world going to be destroyed?

Lao Chu has never doubted his life as much as he does now.

Because on the screen, the price of crude oil clearly showed zero.

How can it be zero?
Doesn’t it cost money to extract crude oil? Doesn’t it cost money to transport crude oil? Doesn’t it cost money to store crude oil?
How can it become zero?

Lao Chu didn't understand, but he was shocked.

At this moment, Lao Chu only knew that his 30,000 US dollars was now completely gone...

After all, Lao Chu is an executive of a large company and has experienced many ups and downs.

It's a loss of thirty thousand dollars, so let it be.

The waters of futures trading are indeed deep and I am not suitable for playing it.

Tomorrow is the delivery date. Lao Chu looked at the crude oil futures order for zero yuan and was too lazy to sell it.

It would be best if the price could go up tomorrow.

But if it doesn’t go up, it doesn’t matter.

Anyway, the money I already had was gone, and this was already the worst possible situation.

Let's just leave it there.

It can’t possibly fall to negative territory tomorrow, right?
Thinking of this, Lao Chu was happy.

Although he didn't understand futures, he knew it would definitely not become negative.

After all, it doesn’t make sense for a seller to sell something at his own expense.

Old Chu stretched leisurely, just thinking that the thirty thousand dollars was wasted.

In my heart, I have already started thinking about where to get some money so that my wife won’t know that I have lost so much money... (End of this chapter)