Extraordinary Genius

Chapter 269: Oil Prices Fall

At the time of Feng Xingtai's enthusiastic preparations for the New Year's celebration, Feng Yu had returned to Iceland and was on the phone with He Zhaoji, who reported the latest prices for international crude oil and London gold.

On 17 January, the price of oil rose by a dollar and began to fall, and from that date onwards, the price of oil has declined daily, from more than $27 to less than $19. Especially on the 17th day, the price of oil fell the biggest, the harshest, from more than $27 at its highest point, falling directly to less than $23 and falling to less than $20 the next day.

Oil prices then began to shake slightly, but the price simply couldn't rise, closing lower every day than the previous day, and closing prices had been kept below $20.

Ho Zhaoji was so impressed with Feng Yu's analytical operation, someone really dared to bet that the price of oil had fallen dramatically, and it really succeeded. He Zhaoji is just a little worried right now. Feng Yu's price limit is somewhat lower. Eighteen dollars, if it's twenty dollars, Feng Yu has now completed the settlement and made a lot of money.

Feng Yu just told him to wait patiently, the oil price is a little volatile, but it won't rise. In just a few days, it will definitely fall to a low price of $18, and then it will be time to make money from automatic delivery.

At this time, Fu family gathered at Fu Rongqi's house again to discuss whether to believe Feng Yu, the price of oil would fall below eighteen dollars.

If they buy at highs over $20, leverage high enough to still make about twice as much profit, even though it's only two dollars apart.

Unfortunately, they didn't fully believe Feng Yu. If they followed Feng Yu in selling short at over $27, when the price of oil dropped to $18, they could make six times as much profit!

Feng Yu bought hundreds of millions of dollars, and they are all the most leveraged. Didn't you say that Feng Yu could make more than two billion dollars?

The other three brothers of Fujia are complaining about the old man Fu Rongqi. If Fu Rongqi bought it with them, they would certainly buy it with them. Even if they invested only HK $100 million, they could make a profit of HK $560 million. If they invest more, they earn more.

Fu Rongqi was furious. Look at the whole Xiangjiang River. Who ran out of oil? How many people are out in the world? Even if I was running out, would you dare use high leverage? How dare you bet on such a low price? Can any of you imagine a war, a drop in oil production, a fall in prices?

Feng Yu bought so much, you didn't know, which one of you dare to buy it?

The boss was angry, they didn't say anything, they only dared to complain, and if the paying boss didn't carry it in front, they wouldn't have today's status.

Actually, if the old man had let them buy it, they wouldn't have had to buy it with him. But knowing the opportunity, because you don't have the guts, and you don't make a lot of money, it's inevitably a little uncomfortable.

Fu Rongqi was also uncomfortable. On the 16th, oil prices surged a bit. He thought Feng Yu's analysis was wrong. But on the 17th afternoon, oil prices suddenly plummeted. Who would have thought that?

Immediately after the price of oil had fallen, it had never risen again, and he reacted, and when he wanted to buy it, it was too late.

According to Feng Yu, there could be almost two dollars of profit difference, but two dollars, the profit is too small, unless, like Feng Yu, the maximum security deposit of 5% is leveraged, but that risk is too great.

Fu Rongqi watched Fu Jia grow to this day over the years, and saw many former Xiangjiang millionaires slowly fade out of sight, mostly because of speculative failure.

Investments are not scary and although there is also a risk of loss, the risk is manageable through detailed analysis and careful handling. But if it is speculation, it is no different than betting ~ gambling. Although the profit is very high, the risk is also very high. If you are slightly careless, you may lose blood.

It's like firing Ruble's Pai Rongjin, instead of losing 400 million in a short time, now relying on the gold futures information provided by Feng Yu to make most of the money back.

But when you get back, Fu Rongjin doesn't dare to follow the oil fall? Instead, hurry to pay back the borrowed money, and those who lost once will be more stable.

Fu Rongqi is not going to continue to invest in oil, the profits are already low, and there is still a great risk, rather than scrambling gold. The gold market is also a bit volatile at this time. The price has really been falling, as Feng Yu said, to about 360 ounces. I believe Feng Yu's bottom price of $355 should be not far away.

They also made a lot of money following Feng Yu's gold show. Fu Rongqi called everyone this time to prepare the funds, he intends to copy the bottom at around $355, think it is very safe, other brothers to follow up and let them make their own decisions.

The other three brothers of Fujia looked at each other and decided to invest another sum of money. Although they did not believe that Feng Yu said that gold would rise dramatically, their team analyzed that the price of gold would definitely rise, and they still believed in the results of the team's analysis.

Anyway, it's a buy up, ready to sell, they don't have to double the leverage, they should be able to make a lot of money steadily.

Fu Rongqi still has some hesitation. Should we make a hedge and reduce the risk? Previously, when he invested in futures, he hedged, buying and selling the same number of contracts, so that once one hand list was closed, it could be offset by another hand list.

This is what a lot of big companies, financial crocodiles do. While profits have been reduced considerably, risks have also been reduced considerably.

Even if they give up a billion dollars to make a billion dollars, they don't suddenly make one billion, or even just disappear, and they can invest a billion dollars to make a hundred million dollars in profits.

Fu Rongqi's mind was filled with the look of Feng Yu's empty oil that day, so confident, so spilled. It's as if you think you're going to win and you're not going to lose.

Young man, there is a rush in, but at the age of Fu Rongqi, he won't do anything that risky, even if the profit is very tempting ~ people.

Let's make a hedge, hedge a little, reduce the risk, believe that gold will definitely go up again when it falls by $355. But as Feng Yu said, he wasn't sure if he could get to a high of more than $400, and none of his team dared to make such an analysis.

After a few more days, the price of oil finally collapsed by $18, closing at $17.74, and the oil futures contract in Feng Yu's hands was fully settled.

When Fu Rongqi heard that his men had reported that oil had fallen by $18, he felt a deep admiration for Feng Yusheng.

Since the oil analysis is so accurate, whether or not the gold analysis will also be very accurate, this time no hedge will be made, Fu Rongqi also decided to bet once!