The rise of great powers: starting from military industry
Chapter 544: Planning for Black Monday
Hong Kong.
After Liu Tao inspected the Beijing-Kowloon Railway, he came to Hong Kong.
This time he came to Hong Kong for three things. One of them was to determine the time of the shareholders' meeting of each of its listed companies and to formulate a dividend plan to be voted on at the shareholders' meeting.
Since he has taken over these listed companies, Liu Tao will also abide by some of the rules of the listed companies.
The dividends of listed companies are not fixed, nor do they have to be paid.
In the stock market, there are a lot of companies that do not pay dividends.
However, normally, as long as the company is profitable, listed companies often pay dividends.
The dividend time is not fixed. Generally speaking, listed companies pay dividends in the form of year-end dividends and quarterly dividends.
These listed companies controlled by Liu Tao have implemented year-end dividends in recent years. After the Spring Festival, the board of directors determined the time of the shareholders' meeting and required the preparation of financial statements and dividend plans, and voted at the shareholders' meeting whether to pay dividends according to the dividend plan.
In addition to dealing with the affairs of listed companies, it is to sell the shares of Jinlong Technology Group in his hands to obtain more funds.
Jinlong Technology Group went public, and now the shares he controls have almost been unblocked and can be traded on the market.
This matter is closely related to the third matter.
That is the 1987 financial crisis!
The late 1950s and the entire 1960s were the "golden age" of the US economic development. The economy continued to grow steadily, inflation and unemployment rates dropped to very low levels, one person could easily support a large family, and an auto worker could live in a big house and drive a car. That was the best era for the United States.
By the 1980s, the US stock market had experienced a 50-year bull market.
It is said that the first oil economic crisis in 1973, the US economy was weak, with high inflation and high unemployment, but that is all about manufacturing and the real economy.
In the financial market, the United States as a whole has continued to rise.
Since 1982, stock prices have continued to rise, and trading volume has also increased rapidly. The stock market continues to heat up, and its development speed far exceeds the growth rate of the real economy, and the development speed of financial transactions has greatly exceeded the development speed of world trade.
Things are so weird. It stands to reason that the financial market and the real economy should complement each other and be related. If the real economy is weak, the financial market will also be weak. But the US financial market is so unpredictable. After the first oil economic crisis, the US manufacturing industry was in trouble. The low-end manufacturing industry either went bankrupt or built factories overseas to reduce costs. The automobile manufacturing industry was defeated by the challenges of West German and Japanese cars. The overseas market of American cars can be said to be constantly shrinking. Even in the US market, the market share of American cars has been declining at a visible rate.
However, the US financial market was not affected. Although it occasionally declined during the period, it was in a bull market as a whole.
Especially since March 1986, the Dow Jones Index has soared all the way, jumping from 1686 to more than 2,500 points. Speculation has obviously been overheated.
According to Liu Tao's memory, by September 1987, the Dow Jones Index would reach 2,722.42 points, and the market value of the US stock market would be as high as 10 trillion US dollars, far exceeding the actual capital supporting its activities, resulting in the prevalence of short selling and speculation into a frenzy.
Entering September, the stock price fluctuations have been extremely abnormal. From October 3 to 9, the Dow Jones stock fell 158.78 points, a drop of 6%. From October 11 to 16, the index fell 235.48 points, or 9.49%.
October 19 was another cursed Monday.
That day, the Dow Jones index plummeted 22.61% to close at 1738 points.
On that day, the NYSE Composite Price Index fell 1x Composite Index fell 12.7%, and the NASDAQ Composite Index fell 11.35%.
The face value of $503 billion of stocks, equivalent to France's annual GDP and one-eighth of the United States' annual GDP, was wiped out in one day.
On that day, of the 1,600 stocks listed on the New York Stock Exchange, only 52 stocks rose, and the rest all fell. Among them, 1,192 stocks fell to the lowest level in 52 weeks, and many representative blue-chip stocks were also doomed.
Almost all the stocks of large companies plummeted by about 30%:
General Electric fell 33.1%, AT\u0026T fell 29.5%, Coca-Cola fell 36.5%, Westinghouse fell 45.8%, American Express fell 38.8%, and Boeing fell 29.9%.
This financial crisis is a crisis for most people, but it is a rare opportunity for Liu Tao.
If it is handled properly, at least tens of billions of dollars can be profited from this economic crisis.
As for whether this kind of action of adding insult to injury will cause the US stock market to suffer a greater setback, Liu Tao just laughed, what does it have to do with him.
I would rather die than die.
He just wanted to take this opportunity to make a fortune, so that he could have more money to invest in China and make China develop faster.
If China wants to develop faster, it cannot do without the support of funds.
China's reform and opening up, to become a big and powerful country, requires a huge amount of funds.
The funds required for infrastructure construction alone are huge.
Since he knew about this economic crisis, he naturally had to make a good layout and make a fortune from it.
The United States is different from Japan. If you want to make this money, you have to make a layout in advance.
Here, the advantage of Hong Kong as a free trade port is fully reflected.
Of course, he doesn't need to do this personally, he just needs to give instructions, and naturally there are multiple teams to carry out separately.
After arriving in Hong Kong, Liu Tao checked into the Peninsula Hotel.
Looking out from the window of the suite, Hong Kong is more prosperous than ever before, with lights and wine everywhere, and traffic everywhere.
Even at nine o'clock in the evening, it is still very lively.
By now, Hong Kong's industrial structure has been adjusted almost. Hong Kong Island, Kowloon and other places are mainly based on finance, education, tourism, trade services, and technology industries, while other places are mainly based on high value-added industries such as electronics, automobiles, motorcycles, home appliances, and games.
These industrial structures are enough to support Hong Kong's development in the next 40 years.
Moreover, although the housing prices in Hong Kong have exceeded those in 1982, many people have started to move to other areas in recent years, and more and more real estate projects have been developed. In addition, since last year, there have been voices and discussions about the integration of Shenzhen and Hong Kong in Hong Kong, which has suppressed the rise in housing prices to a certain extent, so that the housing prices in Hong Kong will not be too high.
At this time, a lot of funds flow to other industries, rather than all flowing into real estate, which also forces real estate developers to devote more energy to developing the real estate market in the mainland.
After all, the real estate market in the mainland is just beginning. Real estate developers in Hong Kong have the advantages of experience, vision, and funds. The real estate market in the mainland is very broad. Although there are still various policy constraints, it is a steady profit and there will be no losses.
This also allows more and more real estate developers in Hong Kong to enter the mainland to develop real estate and invest more money.
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