Extraordinary Genius - Chapter 288 – The Great Bull Market
About two weeks ago, the stock market had fallen a bit, and Feng Yu had sent his men to buy in the shares. He used all his available funds to purchase the shares of the listed companies on the Shanghai stock exchange and Shenzhen stock exchange.
Feng Yu clearly remembered that in his past life, after the “Great One” visited the south and made a speech about the financial market, many people started buying shares. This lead to the market increasing by over 500% with a few days.
Feng Yu had analyzed before. With the government’s policies and the people’s ignorance of the financial market and the habits of following trends, China’s stock market will enter its first bull market.
Feng Yu did not use his funds in Hong Kong. He was still letting He Zhaoji use his funds to trade in London Gold. Feng Yu had thought of using those funds to buy these shares.
But it was troublesome to transfer funds from overseas to China in the current era. Even if Feng Yu had successfully transferred his funds into China, he would not be about to buy many shares. It will be even harder for him to move his funds out of China.
Feng Yu only repaid his Hong Kong’s banks loans and got back all the shares he mortgaged. Just with the money, he earned from those shares, he could do a lot of things in China.
Current China was still very backward, and the laws were not as well covered as the future years. Feng Yu does not want to attract unwanted attention from others.
If he were only slightly ahead of others, he would be considered a genius. If he were way ahead of others, he would be regarded as a freak!
“I want 10,000 RMB Vacuum Electronics’ shares. What? No more? Then I want the shares of Light Industry Textiles. Hurry up.”
“It’s my turn. What other shares are available? Fine. I will want that shares too. 8,000 RMB.”
“I want 10,000 RMB worth of shares. I want whatever shares you have!” Someone wearing a big gold ring shouted. After shouting, he looked at the people around him arrogantly.
The other customers were gasping in shock. They envied this person. This person must be one of those earlier businessmen who had made a fortune.
At the same time, this person also gave the others confidence about the stock market. Those earlier businessmen were the smarter ones and the ones who were capable. Since the businessmen were also buying shares, that means shares will surely make money. Everyone started to follow the trend and buy stocks.
The two stock exchanges had lots of transactions of people buying in shares. Some people sold their share and made some profits.
But those who had sold their shares early soon regretted. They thought that the share prices were already very high when they sold. It had risen by over 30%, and it was still growing.
Since it was still rising, these people started buying in the shares again. Tomorrow, the prices should go up again.
Not only the two stock exchanges were busy. Even the banks’ investment counters in all cities were busy. People were queuing up to buy shares.
The staff behind the counter had not stopped working since morning until the market closes.
After the trading ended, the staffs tabulated their day’s stock sales, and the volume was more than 10 times in the past days. Share prices kept increasing.
Shares were so profitable? Just today alone, the shares prices had risen by 50%. If they had invested 1,000 RMB, it would become 1,500 RMB. If the investment were 10,000 RMB, the returns would be 5,000 RMB. This was more than the staffs’ 2 to 3 years salaries!
Now, shares were selling like hotcakes, and many people could not even buy shares even when they had the money. But the bank staffs were the one processing the transactions and sales. Other people might not be able to get the shares, but this was not the case for the bank staffs. No one will know if they keep the shares sold by others for themselves.
Although they were not allowed to do this, they can let their family members buy those shares.
“Xiao Yu, have you seen today’s stock market? The shares had risen!” During dinner, Li Shiqiang excitedly said to Feng Yu.
Feng Yu slowly picked up a piece of braised ribs and put into his mouth: “I know. I had told you before that the shares will surely rise.”
“Then should we sell off the shares tomorrow?” Li Shiqiang asked.
Even Wen Dongjun was looking at Feng Yu. His family had also bought tens of thousands RMB worth of shares.
“Tomorrow? No. Wait. The earliest will be next week. This week, the shares will be rising the fastest, and it should slow down next week. Even though the shares will still rise, but it will not be increasing so fast. We can slowly sell off our shares to prevent any large fluctuations in the prices.”
“Then this week, how much can make the shares rise?” Wen Dongjun looked at Feng Yu.
“I had said this to you earlier. The shares should rise at least 3 to 5 times. I estimate that our shares will rise more than 5 times!”
“5 times!?” Wen Dongjun and Li Shiqiang looked at each other. They were ecstatic!
This investment was too good to be true. This was better than robbing the bank! They had thought their investments would yield 3 times profits and it would be considered a lot. But they never expect their returns to be 5 times.
The both of them still did not know that the 5 times Feng Yu said was this week’s increase. Their shares had increased almost double in value since the day they bought it. That means their shares’ value would increase by close to 10 times!
Feng Yu had set his target to be 8 times. Now, it seems that he would achieve his goal. He would be able to raise enough funds for his future plans.
After dinner, Wen Dongjun immediately calls home and tell his family that the shares had increased and next week he would sell off the shares. The tens of thousands RMB, his family, had invested would become more than 200,000 RMB!
Wen Deguang breathed heavily. Over 200,000 RMB! He had only invested so little, and he would be satisfied to just get back double his investments. This money was for his son. Now, it seems that the returns were much more than he had expected!
If his family had made so many profits, what about the Feng family? The Feng family had more money than him in the past and had invested more than him. That means the Feng family had made a few million?
Wen Deguang was not sure how much money Feng Yu had and how much was invested. He thought that a few million would be a massive amount.
Old Feng’s family have someone capable. Luckily, this Feng Yu was close friends with his son Wen Dongjun. He knew his son would go far with a friend like Feng Yu.
Even if his son could not be an official, he could help Feng Yu with his business. It should not be a problem for his son to make a fortune.
Wen Deguang took out a bottle of wine which he kept for years. He wanted to celebrate with Old Feng.