Golden Spoon Investment Portfolio - Chapter 356

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This chapter was translated by Lunox Novels. To support us and help keep this series going, visit our website: LunoxScans.com
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356. I’m looking forward to what happens in a few days.

July 8th, 1997.
The Daeheung Venture Capital Fund Management Department Office, having decided to observe the market quietly until buying pressure returned, was filled with an undercurrent of tension beneath its calm surface.
Everyone sat at their desks, ostensibly at ease, yet their eyes remained fixed on the monitors, ready to execute trades at a moment’s notice.
Even Jung Hwan-yeop, usually talkative, kept his mouth shut, repeatedly squeezing and releasing a small hand grip in one hand while never taking his gaze from the Hang Seng Index futures trading window.

“Manager Jung. Here are the documents you requested.”
“Ah. Thank you.”

As Noh Hee-won approached and extended the papers, Jung Hwan-yeop accepted them with a slight nod.

“Is there anything else you’d like me to do?”

Noh Hee-won asked quietly, her voice slightly subdued by the tense atmosphere.

“No. We’re fine.”
“I see….”

As Noh Hee-won returned to her seat, Jung Hwan-yeop, who had been flipping through the documents, reflexively lifted his head at the sharp alert sound and stared at the monitor before him.
The futures trading window, which had shown almost no orders moments before, suddenly erupted with a flood of buy orders cascading in.

“What? What’s happening?”

Jung Hwan-yeop straightened his upper body, which had been leaning back, and spoke in a startled voice, prompting Manager Choi Ho-geun to ask from his seat.

“What is it? Has something happened?”
“Futures buy orders are pouring in.”
“Really?”

Manager Choi Ho-geun jumped to his feet.

“Yes. We’re already seeing over 100, no, over 200 orders.”

At that moment, Yu Seok-hyun interjected urgently.

“The Hang Seng Index, which had been breaking through 14,000 and continuing to fall, has stopped its downward trend!”

Upon hearing the story, Manager Jung Hwan-yeop’s head snapped around to look at Manager Choi Ho-geun.

“Manager, something feels off about this.”

Manager Choi Ho-geun had also instinctively sensed that something had shifted.
Just as he was about to contact Howell, the trader at Eldorado’s Hong Kong branch, to verify the situation, the telephone on his desk rang first.

[You’ve noticed the buy orders flooding into the futures trading window, right?]

The caller was Howell himself.
Manager Choi Ho-geun moved his mouse to bring up the Hong Kong Hang Seng Index futures trading window on his monitor, then responded in English.

“I was just about to call you about that, actually. Has something happened?”
[The Hong Kong government just announced direct market intervention.]
“…!”

Manager Choi Ho-geun’s eyes widened as he gripped the receiver more tightly.

“If they’re intervening directly, that means the Hong Kong government is buying stocks!”
[Exactly. They said they’ll focus on blue-chip stocks. They won’t disclose the exact scale, but they’re saying at least 10 billion dollars or more will be deployed.]

Large-scale purchases of blue-chip stocks meant a rise in the Hang Seng Index, which was composed of the fifty representative stocks across industries.
Now I could clearly understand why the Hang Seng Index futures buy orders had suddenly flooded in.

[Breaking the expectation that they would abandon the stock market to defend the currency, this large-scale buying announcement has sparked rumors that the Chinese government is backing them.]
“Even for Hong Kong, this is no small matter, so it’s reasonable to think that way.”

Had Manager Choi Ho-geun not heard about this from Seok-won beforehand, he would have immediately suspected China was providing covering fire.
The Hong Kong government’s response was bold and unprecedented.

[Looking at the trading window, everyone’s expecting the Hang Seng Index to rebound from this measure, so they’re jumping into futures buying. What will Daeheung Venture Capital do?]

At Howell’s question, Manager Choi Ho-geun held the receiver to his ear while staring at the trading window, where buy orders continued to accumulate and prices kept rising. He paused briefly in contemplation.
It was the selling opportunity he’d been waiting for, but if China truly intervened and the startled hedge funds abandoned their attack on the Hong Kong dollar, the Hang Seng Index could skyrocket, causing massive losses.
As Manager Choi Ho-geun watched the trading window move at lightning speed, countless thoughts crossed his mind.
But his deliberation didn’t last long.
Recalling Seok-won’s assertion that China would absolutely not intervene in Hong Kong’s situation, Manager Choi Ho-geun steeled his resolve and spoke again.

“We’re going to resume selling futures, so arrange the trades for us.”
[Of course.]

Howell hung up immediately after his brief reply.
As Manager Choi set down the receiver, he noticed that Jung Hwan-yeop and the rest of the team were already leaning forward with keen interest, so he cleared his throat with a soft cough.

“You all caught the gist of it. The Hong Kong government has announced it will directly intervene to prop up the collapsed stock market.”

Everyone’s expressions shifted from surprise to skepticism almost instantly.

“Trying to defend both the exchange rate and the stock market simultaneously seems like an overreach no matter how I look at it.”
“I agree. There’s a real possibility they’ll end up losing control of both.”
“Exactly.”

Manager Choi spoke in a slightly subdued tone as the team murmured among themselves.

“The market seems to believe that China is backing Hong Kong.”

The team’s expressions transformed immediately.
Jung Hwan-yeop, standing with his sleeves rolled up, furrowed his brow and let out a low grunt.

“Ah, that explains why the Hong Kong players are being so aggressive.”
“If that’s really the case, shouldn’t we be buying back instead of selling futures to close out our position?”

As Hong Jae-hee’s expression filled with concern, Yu Seok-hyun beside her nodded in agreement.
Even Noh Hee-won, though not entirely certain, felt the tension in the air and her face grew taut.

“China won’t intervene, so just as we discussed before, sell as many futures as possible when buying pressure returns.”

Manager Choi stood with his hands on his hips, issuing instructions to the team with unwavering resolve.
Jung Hwan-yeop then voiced his concerns in a notably serious tone.

“Manager, please reconsider this once more. We could take a serious hit if things go wrong.”

Looking around, I could see anxiety flickering in the eyes of the other team members.
Manager Choi shrugged and deliberately spoke in a lighter tone.

“It’s not my judgment—it’s what the president instructed.”
“Really?”

Jung Hwan-yeop’s eyes widened as he asked.

“You mean the President anticipated this before the Hong Kong authorities made their announcement and told us in advance?”
“That’s right.”

Jung Hwan-yeop let out a breath at the sheer astonishment of it all.

“Wow… I really can’t compete with the President.”

Admiration blazed across Jung Hwan-yeop’s face as he scratched the back of his head with one hand.
The other team members were equally astounded by Seok-won’s foresight.

“The President really said that?”
“How could he possibly know something like this?”

Manager Choi Ho-geun, feeling slightly slighted that the team members were now cheerfully accepting what he’d suggested earlier, grumbled.

“What is this? When I said it, you all looked skeptical and asked me to reconsider. But the moment you hear it’s the President’s instruction, you all just agree?”
“Haha…”

As the team members quietly averted their eyes, his sense of grievance only deepened.

“You guys are something else.”
“Come on, Manager. It’s not that we don’t trust you—it’s just that the President’s judgment has never been wrong so far. That’s proven insight, isn’t it?”

Manager Choi Ho-geun glared at Jung Hwan-yeop, who grinned without a shred of apology, then clicked his tongue.

“Well, I suppose I can’t help it either. If the President says something, I trust it unconditionally.”

Manager Choi Ho-geun nodded in acceptance and clapped his hands lightly to refocus the room.

“We never know when market sentiment might shift, so let’s get moving.”
“Yes, sir!”
“Understood!”

Jung Hwan-yeop and the team members responded with vigor, returning to their seats and resuming the trades they’d paused earlier.

***

[HSI : 13,980.29 (▲17.78)]

Seated at his desk, Seok-won checked the Hang Seng Index on his monitor, then turned to glance at the Bloomberg terminal displaying breaking news of the Hong Kong government’s stock market intervention announcement, murmuring softly to himself.

“Just as expected—the moment you play a strong hand, the results start showing immediately.”

Seok-won took a leisurely sip of his cold coffee, then focused his attention on the active trading of Hang Seng Index futures unfolding in the Tokyo and Hong Kong futures markets.

“Eric and Manager Choi are responding well too, not missing this opportunity.”

Seok-won settled back in his chair with a satisfied expression, continuing his thoughts aloud.

“Right now the index is rebounding on hopes of Hong Kong government stock purchases and Chinese intervention, but if the hedge funds led by George Hamilton keep up their relentless assault, this effect will fade quickly.”

If China showed no movement even after several days passed, people would begin to suspect whether they were truly helping Hong Kong at all.
The moment hope transformed into disappointment, it would undoubtedly deliver an even greater shock to the stock market.

“It’s always true—the greater the expectation, the greater the disappointment. When the Hong Kong stock market collapses, that shockwave will cross the Pacific and strike the New York Stock Exchange hard.”

When that happened, I could sell off large quantities of Hang Seng Index futures to expand my position, and simultaneously, when the New York market plummeted, I could sell the short position I’d placed on the Dow Jones Index for substantial profits. It was a win-win situation.

“I’m looking forward to what happens in a few days.”

A thick smile spread across Seok-won’s lips.

***

The next morning.
Park Tae-hong, who had attended a drinking engagement late into the previous night, arrived at the company office around noon.

“Why don’t you just rest at home today?”

His wife’s words as she saw him off at the entrance were met with a sullen response from Park Tae-hong.

“If I start whining about having had a drink and give in to laziness, the company’s discipline will fall apart in no time.”
“I’m just worried about your health.”
“I’m fine. Don’t fuss unnecessarily and get back inside.”

Park Tae-hong waved his hand dismissively, then opened the front door and stepped outside with his Attendant Secretary, who carried his briefcase.

“Stubborn as a mule, that one.”

Jo Deok-rye gazed at the closed door and sighed, then turned away.
Even with a hangover, he’d grit his teeth and endure it—she’d need to prepare some good medicine to settle his stomach.
Meanwhile, Park Tae-hong stepped into the rear seat of the car as Kim Hyung-gi, his driver, held the door open.
Moments later, as the sleek Mercedes sedan glided smoothly into motion, Park Tae-hong leaned back against the leather seat and asked a question.

“What’s on the schedule for today?”

The Attendant Secretary in the front passenger seat turned around to answer.

“You have a Park Group financial report at 1 PM, and a meeting at the Sanggye-dong Midopa Department Store headquarters at 3:30 PM.”
“Then let’s have dinner with the department store executives after the meeting.”
“Understood, sir.”

Park Tae-hong shifted uncomfortably in his seat, the lingering effects of the hangover still weighing on him.
Despite the hangover soup and honey water his wife had prepared at home, the aftereffects of drinking late into the night still clung to him.

“Manager Kim, turn on the radio so I can catch the news on the way.”
“Yes, sir.”

Kim Hyung-gi, who had been Park Tae-hong’s dedicated driver for years, immediately reached over and switched on the radio.

[…Heavy rain is expected to sweep across the nation starting tomorrow evening, which should finally break the oppressive heat wave we’ve been experiencing. Now, we have breaking news for you. This morning at approximately 9 AM, Do Moon-sung, chairman of Busan Taehwa Shopping who recently filed for court receivership, jumped from the 13th floor of his apartment building.]
Next, I’ll tell you about the breaking news that just came in.
This morning around 9 o’clock, there is news that Do Moon-sung, chairman of Busan Taehwa Shopping who had recently filed for court receivership, committed suicide by jumping from the 13th floor of his residential apartment.

Park Tae-hong, who had been listening to the news while sunk into the plush seat, suddenly widened his eyes at the unexpected breaking news.

“Turn it up louder!”

At his sharp command, Kim Hyung-gi quickly turned the radio volume dial.

[According to witnesses, the deceased Chairman Do Moon-sung had failed to honor promissory notes worth approximately 2 billion won and had been reported to police by the banks he dealt with for violations of the bad check law. He had received a summons requiring him to appear at the Police Station by 10 AM this morning for questioning, and according to family members and acquaintances, he had been under considerable stress….]
The family and acquaintances said they struggled greatly after receiving a summons requiring attendance at the Police Station for questioning by 10 a.m. today.

“This can’t be. Chairman Do… taking his own life….”

Park Tae-hong’s expression grew somber as he recalled meeting Do Moon-sung at a Federation of Korean Industries gathering just a month ago and sharing a pleasant conversation with him.

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This chapter was translated by Lunox Novels. To support us and help keep this series going, visit our website: LunoxScans.com
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