Chapter 662: The Green Brothers Company Enters the Market

“Invest it all? Li, are you serious?”

Reggie Green was genuinely stunned by Li Yi’s words, staring at him in disbelief as he spoke.

It was no wonder he reacted this way; Li Yi’s idea was simply too outrageous.

The funds Reggie Green had just mentioned totaled over two billion US dollars. Setting aside the use of financial leverage, investing such a massive sum alone could have a significant impact on the sluggish gold market.

But that was secondary. The most critical point was that this money was essentially all the Green Brothers Company had left.

If they were to invest it all, they would essentially be gambling away the future of the Green Brothers Company.

If they made a profit, everyone would be happy, but if they lost, they’d be facing bankruptcy—there would be no other way out!

However, Li Yi’s subsequent reaction once again made Reggie Green feel just how reckless he was.

He tapped his fingers lightly on the table a few times, then said with a serious expression, “Mr. Green, I never joke about investments. If you entrust this investment to me, I will invest every last cent of the funds we can raise—not a single penny will be left out!”

“But that’s far too risky. If the gold market rebounds, our losses will be beyond imagination…”

Before he could finish, Li Yi cut him off: “Mr. Green, investing is inherently a gamble—and a zero-sum game at that. Either you lose and I win, or I lose and you win; there’s no such thing as a win-win!”

“Therefore, in a game like this, once a sure opportunity presents itself, there can be no hesitation—once missed, it may never come again!”

Reggie Green fell silent; he couldn’t deny that there was some truth to what Li Yi was saying.

But as an investment firm, the one thing they must avoid at all costs is this kind of gambler’s mentality. If a mistake were to occur, the company could vanish into thin air in an instant.

Reggie Green thought he was already the madman of the Wall Street investment world, but he never imagined that his partner would be even crazier than him.

Originally, he’d been thinking about how to convince Li Yi to join him in his madness, but now he felt it was necessary to stop him from going too far—after all, there’s a price to pay for going too far.

With that in mind, Reggie Green said in a low voice, “Li, this idea of yours is too crazy. I think we should play it safe—for example, by investing five hundred million dollars first. That would be a safer bet…”

However, just as Reggie Green was rambling on, trying to persuade Li Yi, he heard Li Yi suddenly blurt out these words: “Gold prices will drop below $300!”

“Uh…”

Reggie Green’s voice cut off abruptly, and he looked at him again with a stunned expression.

“Li… are you sure… are you sure the price of gold will drop below $300?” Reggie Green’s voice trembled slightly.

If anyone else had said that, he would have just listened and not taken it seriously.

But coming from Li Yi, he had no choice but to take it seriously.

After all, Li Yi and his team had come to New York specifically to short gold. The fact that he dared to do this showed that Li Yi had considerable confidence in the fluctuations of the international gold price—a confidence that had been evident over the past month or so.

After all, compared to when Li Yi entered the market a month ago, the price of gold had already fallen by more than $130 per ounce—a drop that most people would consider significant.

If he were the type to lose his cool, he might have closed his position long ago.

But Li Yi remained completely unfazed, sticking to his strategy all the way through, and shows no signs of closing out his positions even now.

And his persistence has paid off handsomely. In just over a month, Li Yi and his team have raked in over $2 billion in the gold futures market—equivalent to the entire revenue of the Green Brothers Company in a single month.

So, Li Yi’s assessment of international gold prices wasn’t without merit. Now it all comes down to whether he’s willing to take this huge gamble with him.

Just as Reggie Green was wavering internally, Li Yi spoke again: “Mr. Green, you’re so eager for me to acquire a stake in Green Brothers—even going so far as to use your own assets as collateral—isn’t that precisely because Davis won’t let you short gold?”

“He doesn’t support you, but I do—so why are you backing down now?”

Upon hearing this, Reggie Green paused for a moment, then took a deep breath, stood up, and said, “Li, you’re right. Investing is a gamble in itself, and I have no reason to back down!”

A faint smile appeared on Li Yi’s face as he said directly, “Mr. Green, congratulations on making the right choice!”

“Li, what level of financial leverage would be appropriate?” Reggie Green asked again.

“No less than 10 times!”

“Whoa…”

Having already gained some understanding of Li Yi’s character, Reggie Green didn’t say much more. Instead, he nodded and said, “All right, let’s use ten times the financial leverage!”

“Mr. Green, if you’ve made up your mind to short gold, you should enter the market as soon as possible. The later we wait, the less we’ll earn!” Li Yi said.

Reggie Green glanced at his watch and realized it was almost time for the mid-morning trading halt.

He replied immediately, “Li, I’ll have my team get everything ready right away. We’ll aim to enter the market this afternoon!”

“Alright…”

……….

Originally, according to Reggie Green’s plans, after signing the share transfer agreement today, he was going to host a luncheon for Li Yi to welcome him to Green Brothers.

But with time running short, the reception was canceled, and they even had to eat lunch at the office.

After more than two hours of preparation, Green Brothers first deposited $50 million as margin and then borrowed over 11,000 gold futures contracts from brokerage firms at a price of $46,000 per contract.

Of course, these 11,000-plus futures contracts were merely borrowed temporarily by Reggie Green to test the waters that afternoon.

At the same time, the core team at Green Brothers mobilized en masse, heading to brokerage firms across Wall Street to sign financial service agreements, preparing to enter the market in force to short gold.

At 1:30 p.m., as the temporarily closed futures market resumed trading, Reggie Green—now fully prepared—finally made his move!

At that moment, due to the Federal Reserve’s interest rate hike, trading in the entire New York gold futures market was sluggish. After all, with the current market situation unclear, no one dared to make any major moves.

However, just as investors were beginning to think that today would pass as uneventfully as the previous few days, the market suddenly stirred.

To everyone’s surprise, someone had placed an order for gold futures contracts at $45,000 per lot—equivalent to $450 per ounce—and the volume was a staggering 1,000 lots.

It’s worth noting that the current international gold price stands at $467 per ounce, while the normal price for a gold futures contract in the futures market is $46,500 per lot (each lot being 100 ounces). A price of $45,000 represents a $15 per ounce discount.

This is a significant discount, and it was quite attractive to some people.

Consequently, these 1,000 futures contracts were snapped up the moment they appeared on the market!

Seeing this, Reggie Green immediately ordered the traders to continue placing orders at this price.

Soon, investors snapped up another 5,000-plus contracts.

As they continuously dumped futures contracts into the market at low prices, some holders who had been gritting their teeth to hold on could no longer withstand the pressure. Those who had lost confidence in a price rebound also followed suit, lowering their prices and selling off their contracts.

In an instant, the entire New York gold futures market was thrown into turmoil, and the situation became unpredictable!

PS: Another chapter coming before 12:00!