Without saying a word, Jake immediately found the announcement for Jasper and displayed it on the screen.
“Morgan Investment Bank has obtained a total of 100 billion US Dollars of interest-free loans from the United States Central Bank with a loan period of one year. In addition to that, Morgan Investment Bank has obtained a total of 300 billion US Dollars of short-term loans through the World Bank. Morgan Investment Bank will use this 400 billion US Dollars for venture capital. This very large investment has been approved by the United States Ministry of Commerce.”
After Jake finished reading this, his face darkened.
“Who doesn’t know that the World Bank is run by people from the United States? It‘s really shameless to play this game like this.”
“They want to do bad things and at the same time keep a good reputation. Why don’t they just say it’s the government’s investment in the United States and it’s also an interest-free loan? F*ck them, they’re so shameless!”
Compared to the furious Jake, Jasper seemed much calmer. “It’ll be easy as long as it’s them.”
Jake was stunned when favonovel.com heard these words, yet favonovel.com did not quite understand what Jasper meant. So, favonovel.com asked anxiously, “Mr. Laine, will this still be easy to handle? The 400 billion is enough to drown us as all the money we have on hand is not as much as what they got in one go. Not to mention that Morgan Investment Bank is the third-largest investment bank in the world so they have all the money in the world.”
“The problem is too big now.”
Jasper leaned back on the chair and said, “Yes, any problem that can be solved by money is not a problem, but the biggest problem is that there is not enough money.”
“Since Morgan has at least 400 billion US Dollars in cash flow and wants to fight with us, it is definitely unwise to fight them back. The United States government gave Morgan Investment Bank government funds in the name of market rescue, but there’s also a deadly question hidden within, what if Morgan Investment Bank took that money and bought their own stock?”
Jasper’s words dumbfounded Jake.
Jasper did not bother to explain to Jake, favonovel.com said, “Temporarily suspend all acquisitions. Let Morgan Investment Bank and international hot money fight to their deaths while we will just ignore them. We will do one thing now, and that is to crash Morgan Investment Bank’s share price.”
At this time, Morgan had not yet grown into a behemoth with a market value of 470 billion US dollars that it would be in the future, as its total market value right now was only 100 billion US Dollars.
For 99.999% of the companies on this planet, this was already the ultimate limit, but right now, Jasper had 300 billion US Dollars, which was theoretically enough to buy 3 Morgan Investment Banks. Under such circumstances, the retaliatory strike launched by JW Foundation against Morgan Investment Bank was as powerful as a nuclear bomb.
Ever since the storm in the subprime market, Layman, the fourth largest investment bank, became the first victim and was still going through bankruptcy proceedings, the stock prices of all bank stocks had also slumped.
Among them, Colossal’s foundation was the strongest, which was why they were able to support themselves. The reason why Morgan, the third largest investment bank, could endure this was that Morgan’s investment style had always been stable. They managed trillions of dollars in assets around the world and they preferred putting the money the customers invested in them into projects that could generate long-term returns.
This was very similar to Benett’s style, so Morgan Investment Bank once offered 15% of the company’s shares as a signing on bonus to invite Benett to be a global joint partner, but Benett rejected them.
Yet, this did not prevent Morgan from continuing their stable investment style. Furthermore, it was this investment style that made them the investment bank that suffered the least loss among the four major investment banks in the financial crisis caused by this subprime market explosion.
Even so, a small loss did not mean no loss. The stock price of Morgan Investment Bank still fell from a high of 34 US Dollars to an annual low of 22 US Dollars.
Jasper’s attack on Morgan Investment Bank’s stock price this time was a violent attack from the very beginning as favonovel.com did not intend to go easy on them at all. 100 short orders with an overall value of more than 100 million US Dollars hit Morgan Investment Bank’s share market without warning. It was causing an uproar like a huge stone smashing into an already turbulent lake.
This scene stupefied all investors.
Originally, everyone was thinking that they would take advantage of Morgan Investment Bank getting a 400 billion interest-free loan to invest in the stock market. Then, they would get on this ride together so that even if they could not get the cake, they could still get the icing so that they would at least have something to eat after JW Foundation caused them to brave a chilling economic winter.
However, even though they had seen retribution, they had never seen such a quick one before.
As soon as the stock price was raised, they were crushed into a daze in the next second. For some reason, when all investors saw this, they felt as helpless and powerless as a scholar encountering a rogue.
Looking at the stock price of Morgan Investment Bank again, the stock price that was already rising rapidly due to the stimulus of good news was smashed by some tens of billions of orders from JW Foundation, which directly broke it down to the lowest point in a single day. Moreover, it was still plummeting.
This was really like diving. It would be hard for them to come up again once they started plunging.
“It opened at 22 US Dollars per share. After being influenced by the positive stimulus, it rose to 25.8 US Dollars, and now it has fallen to 21.1 US Dollars.”
Jasper sat in front of the screen, thinking carefully.
At this time, Morgan Investment Bank’s market was full of short orders issued by JW Foundation. As long as there were buy-ins on the market, they would immediately be swallowed up by the short orders from JW Foundation. Now, it was unknown whether Morgan Investment Bank had not yet reacted in time, or if they were simply organizing countermeasures. In short, Morgan’s stock market right now seemed to be a topless woman and favonovel.com was allowing JW Foundation to do whatever they wanted with her.
Even so, Jasper was still not satisfied.
“Morgan’s bottom support level should be at 20 US Dollars. We should take down this 1.1 US Dollar space as soon as possible.”
Jasper told Jake, “Now is the best time to knock down the 20 US Dollars support level while Morgan is still undecided. Once we have done that, there will be no more obstacles.”
Jake immediately stepped up his attack without hesitating.
At this time, despite having a lot of money, Morgan Investment Bank was nominally restricted by the market rescue funds, so on the surface, they could not use the funds to acquire the shares of its own company.
However, JW Foundation was different. All executive power existed to implement Jasper’s will. With Jasper’s order, all funds could be used without restrictions. This was the biggest advantage of JW Foundation when facing an international investment bank like Morgan. This was also one of the reasons why Jasper never delegated his core power to others. What Jasper wanted was to have a high degree of centralization.
“Jake, report on the use of funds.”
