The American Kill Line: I Can Predict the Future

Chapter 6 The Battle to Defend the Euro

Options trading inherently involves leverage; it is essentially a mechanism for "high leverage with low capital".

Take the French CAC40 as an example, its current points are 3390.

The nominal value of this contract is 3390 × 10 (contract multiplier) = 33900 euros.

Ron opted for a May call option contract with a strike price of 3500 points.

The difference is 110 points.

France, a country severely affected by the European debt crisis, was also impacted by yesterday's flash crash.

The stock prices across the board plummeted.

This call option, which expires three weeks ago, has a premium as low as 8 euros per point.

That means you only need to spend 80 euros to leverage an investment worth 35000 euros.

Such a high-risk contract was beyond the control of even Victor, a seasoned broker.

Upon being notified, Merrill Lynch's risk department immediately launched an investigation into Ron's identity.

In less than half an hour, Ron’s life story from birth to the present, as well as his family members, interpersonal relationships, and so on, appeared on the risk department manager’s desk.

He tapped his fingers lightly to the beat, and after a moment, said to Victor sitting at his desk:

"Victor, based on your understanding, if you say he's a gambler, you should know that these kinds of people tend to have extreme personalities."

Viktor said impatiently, "If we at Merrill don't do it, Ron will find someone else. You can't expect much rationality from a man who's only thinking about revenge."

The head of the risk department nodded slightly, acknowledging that what Victor said was true.

The character assessments they received were roughly the same.

He took a risk disclosure document from the drawer and threw it across the table: "You're the agent, I'm only responsible for the assessment."

"Thanks!"

Viktor took the documents with a nonchalant attitude, a hint of contempt even showing in his eyes.

Since the subprime mortgage crisis, Merrill Lynch was acquired by Bank of America, and this former one of the five major independent investment banks on Wall Street has become a "universal bank subsidiary".

As a result, the ambition of the company's senior management also disappeared; all they did was indulge in pleasure and shirk responsibility.

Victor understood what the other person meant; he was simply worried that Ron would cause trouble after losing.

But he didn't care or concern himself.

A moment later, Ron signed the risk disclosure document, indicating that he was aware of the risks.

The deal is done!

"It's a pleasure working with you!"

Ron nodded expressionlessly, much like someone who made a choice on impulse and then forced himself to save face afterwards.

After he left, Meiling Securities became the subject of much discussion.

"Victor, is he the lucky one from yesterday's flash crash? He seems very confident."

"It's not just confidence, it's downright gambling. I heard this guy got cheated on. $250 million! What kind of woman can't he find?"

"But on another note, Victor, you're treating tonight."

"Ladies and gentlemen, he is still a client of Merrill Lynch."

Victor stopped his colleagues from mocking Ron, then laughed and said, "Fraunces Tavern has all the drinks on the house tonight."

In an instant, cheers erupted in the securities hall.

Merrill Lynch's commission for this transaction will be no less than 10 euros.

Victor's commission was no less than 2 euros.

.....

After leaving the securities brokerage, Ron returned to the Peninsula Hotel.

We extended our stay for another three days.

When I returned to my room, I ran into the rich girl who was staying across the street checking out.

Elizabeth hesitated slightly, but still called out to the other person:

"Mr. Hunter!"

Ron turned around.

Elizabeth said sincerely, "Thank you for that night!"

Ron's expression softened, and he nodded slightly: "Girls still need to be careful when they're out."

Elizabeth felt a little awkward; Ron's tone sounded just like her father's. She pouted, "Has anyone ever said that Mr. Hunter is clueless about romance?"

Ron was taken aback, then instantly understood what the other person meant. Thinking that he had been busy all morning and hadn't even had time to eat, he said:

"Sorry, I was quite busy that day. If you don't mind, you can invite me to lunch."

"Well... um?" Elizabeth was just about to raise her chin in a show of modesty when she realized something was off about her words.

"Just kidding," Ron laughed, then mimicked Gentleman's gesture of invitation:

"Dear Miss Olson, may I invite you to lunch?"

Elizabeth tilted her snow-white swan neck back up, pretending to ponder, and said haughtily, "Alright then! Since you're so sincere, I'll grant your request."

The two walked side by side to the hotel's second-floor restaurant.

It was then that Ron learned Elizabeth's name; her father was not only a real estate tycoon, but she was also a "star kid."

The two twin sisters are not only actresses and singers, but also producers, and now they are also famous designers in the fashion industry.

However, Elizabeth clearly showed strong resentment when talking about her sister.

This resentment wasn't directed at his two older sisters.

Rather, it's the label the outside world uses for her—the youngest sister of the Olsen family.

A rebellious rich girl... Ron smiled but made no comment.

When you meet someone by chance, no one wants to listen to their lectures.

Ron had clearly sensed the other party's rejection when he said a few extra words before, so he certainly wouldn't be so tactless now.

After lunch, Ron took out a thousand dollars.

In the past, he would never have been able to bear it.

A glass of red wine costs $480, which is equivalent to my salary for twelve hours before my divorce.

The two parted ways at the hotel entrance.

"Bye! Ron, remember to let me know next time you're in Los Angeles!"

"Yes, I will! I wish you the best of luck in your audition!"

Ron watched Elizabeth get into the car, setting aside the rich girl's temper.

Elizabeth was the most outstanding Ron had ever seen in terms of looks, figure, and upbringing.

She may not be stunning at first glance.

Yet it makes you want to look at it a second time.

Her features were exquisitely beautiful, the kind that could withstand close scrutiny. Her long, golden-brown hair fell loosely, her nose was high and straight, and her lips were full. Her skin was very fair, not pale, but rather had a luminous glow.

At 1.68 meters tall, she is not considered tall among Europeans and Americans, but her body proportions are excellent, with a long neck, straight collarbones, clear shoulder lines, a slender waist, and a hip curve that is perfectly showcased under a tight-fitting long dress.

Ron looked away and turned back to the hotel.

There are less than two days left until the 10th.

What he needs to do now is wait patiently.

Time flies by.

On the afternoon of May 9, finance ministers from the 27 EU member states and the International Monetary Fund held a meeting in Belgium.

After a marathon negotiation that lasted 12 hours, an agreement was finally reached at 2 a.m. on the 10th.

At 3 a.m., which is 9 p.m. New York time on the 9th, a press conference was held to announce:

Together with the International Monetary Fund, they established a stability mechanism totaling up to 7500 billion euros.

Of these, 4400 billion euros were provided by eurozone countries in the form of guarantees.

Another €600 billion will be raised by the European Commission from the financial markets.

The International Monetary Fund provided 2500 billion euros.

At the same time, the European Central Bank made an unprecedented announcement of its decision to purchase sovereign bonds of eurozone member states.

The news shocked the world!

The battle to defend the Euro has officially begun!!

Tap the screen to use advanced tools Tip: You can use left and right keyboard keys to browse between chapters.

You'll Also Like