In the next few days, Lu Ze still sold frequently, but it was all short-term operations, buying and selling immediately, and leaving after a small amount of money.

Although the Nasdaq index fell 4% on the first day, Wall Street and American investors are still full of confidence in the Internet.

The media is constantly pumping blood every day to inject confidence into the stock market.

Except for those short-selling institutions, almost no one believes that there is a bubble in the Internet, and no one believes that the bubble will burst at this moment.

The millennium has just arrived, and it is time for the Internet to show its strengths.

Many people have experienced the convenience brought by informatization. Who can believe that Internet concept stocks will collapse at this time?

At the beginning of this year, Pets, a well-known pet e-commerce website in the United States, also invested a lot of money to promote large-scale advertising, even putting advertisements to the most expensive "Super Bowl" in the history of American advertising, and even bought its prime time period.

Whether it is the hot air balloons during the Thanksgiving Parade or the mass visits of pet dolls, the marketing of pets is very exciting.

What does this mean? This shows that Internet companies have strong capital and wealth.

Not only Pets, but also another celebrity Internet company, Webvan, this fresh food e-commerce company, sells more than 45,000 non-perishable foods. It plans to provide services to citizens of 26 metropolitan cities in the United States, and even promises that it can deliver goods to your door within 30 minutes.

Both companies were listed vigorously not long ago and were sought after by countless capitals.

Pets. and Webvan’s original investors are both exciting names, and no one will suspect that they will make such stupid mistakes at this moment.

These investment institutions include: Benchmark Capital, Sequoia Capital, SoftBank Capital, Goldman Sachs and Yahoo, and their entry was to encourage Pets. and Webvan to quickly build their own infrastructure.

The so-called infrastructure refers to the use of large amounts of funds at the beginning of its establishment to establish an expensive transportation center in San Francisco, Los Angeles, Seattle, Chicago and other places.

In short, it is to burn money to grab progress, occupy the market, make data, and increase the stock price to facilitate capital cash out.

Due to its greed nature, capital is sometimes not a shot of a strong shot for the development of a company, but rather a death-driven talisman.

Pets. burned $300 million in less than two years and then went bankrupt.

Webvan is even more exaggerated. Since its establishment in mid-1999, it has received more than $800 million in investments from venture capitalists and Wall Street.

But the company has not seen any hope of profit from the beginning, and under the influence of the general environment, it lost 830 million US dollars in two years, even more exaggerated than Pets.

This is true for the two celebrity startups, let alone other Internet companies.

In June 2008, Webva named the largest Internet bubble in human history, and was placed with lists of Pets and eight other sites, which can be called a huge pit in a huge pit.

There are many Internet companies like Pets. and Webvan at this moment.

But the public was blinded by the wave of wealth and had lost their objectivity and rationality at this time.

It is precisely because of this that Lu Ze is cheaper.

He not only shorted Pets and Webvan, but also shorted many similar Internet listed companies.

For example, HomeGrocer, similar to Webvan, is also a fresh food e-commerce company.

Although it just landed on Nasdaq last week, like Webvan, it also lost a lot of money like a heavy bleeding. It will be sold to Webvan in June. After the merger, it will still be difficult to make a comeback. Both companies will go bankrupt next year.

When Lu Ze shorted the stocks of these companies, he always looked at the signs and started quickly.

However, it is still the same day transaction, and harvest on the same day, and never drag on the mud.

In 6 days, NASDAQ lost nearly 9 points, falling from 5050 on March 10 to 4580 on March 15.

During this period, Lu Ze made frequent moves and shorted the companies that were completely ineffective in his memory, and he made great achievements.

His 200 million principal increased by more than ten million in profits during this period.

A few more days later, the time finally came the day he had been waiting for.

On March 20, the famous financial magazine Barron's published a cover article called Burning Up, revealing the current bad situation of these Internet companies:

Among the 207 Internet companies surveyed, 71% of the companies had negative profits, and the cash of 51 companies would be used up within 12 months. Even the cash flow of the Internet idol unit Amazon could only last for 10 months. Many founders and early investors of Internet companies were doing their best to cash out, and funds flowing from the old economic system to the new economic system were immediately exhausted. Internet companies that had no money to burn or make money were about to fall from the altar.

As soon as this report was released, it completely caused panic in the market.

At the same time, the verdict about the Microsoft monopoly case has been circulating since mid-March, and various rumors have begun to spread in the market.

People's confidence in Microsoft's ability to win lawsuits is getting weaker and weaker, and the next is the tragic scene of the free whereabouts of Internet companies and shareholders.

Starting from March 20, the Nasdaq index has been falling all the way, and it will fall by more than 25% in less than a month. At the most exaggerated time, it will even fall by 9% in a day.

It's so bloody and so cruel.

Early in the morning of the 20th, Lu Ze arranged for the trader to make all preparations.

Starting this day, he will start a big bet to short the US stock market through stock index futures and increase leverage.

Because the market has completely collapsed, it is definitely not something that can be stopped by human resources, and no one can change this trend.

During this period, it is no longer meaningful to short a certain stock alone. It is safer to short the market directly and have higher returns because you can add ultra-high leverage.

You should know that stocks can only add 2-4 times at most, and futures can add 20-100 times of leverage. This is the real bet.

On the first day, the beginning of the panic tide, there was almost no big fluctuation, and Lu Ze could go on a bold and confident manner.

"Quick, add 30 times leverage and short the Nasdaq index with full position." Lu Ze ordered excitedly.

All operations must be completed before the article "Burning" published by the financial magazine "Barron's Weekly" fermented.

When the Wall Street elites get to work and see this article, they will instantly react.

By then, the stock market began to fall without warning, which may also indicate that the speed of burning money at that time had far exceeded the growth rate of Internet enterprise users and the increase in revenue.

Naked swimmers will be completely exposed to the sun. Companies that maintain their money but do not see any hope will be completely disappointed this time.

After the bubble burst, almost 1,000 Internet companies went bankrupt in the next two years, and more than 3,800 were merged, and most of the Internet celebrity companies at that time disappeared.

The decline of the stock index lasted for two years. In the middle, coupled with the impact of the terrorist incident in the Twin Towers, the entire Nasdaq's market value fell by $5 trillion, and the index was less than a quarter of its peak period. It was one of the largest financial bubbles in the history of the United States. It took Nasdaq 15 years to recover to its level before 2000.

Correspondingly, a large number of hedge funds with heavy positions in the Internet went bankrupt after the bursting of the Internet bubble, and most of them were forgotten by history and became real losers.

If the economy is improving, the stock market will naturally have the effect of investment appreciation.

But if the stock market crashes, an avalanche-like disaster will occur, and almost not many people will be spared.

Only prophets like Lu Ze, and those large institutions that have started shorting very early with large funds, can make profits.

In the following days, Lu Ze did not dare to operate with full positions, and he did not dare to increase his leverage very high.

Because there will still be some fluctuations every day, he must be able to control the risks. Even if he is a big bet, he will control the losses within a bearable range.

However, his operation still made Zhang Cheng and his colleagues in the New York branch of the [Singularity Fund] dumbfounded.

Especially these foreigners have worked on Wall Street for many years and have never seen such a bold operation.

Fortunately, Lu Ze finally left room and did not reap too ruthlessly. In the eyes of outsiders, it was not a limiting operation at all, and it finally caused no suspicion.

Despite having memories of the past life, Lu Ze could not remember the details very clearly. Therefore, every day's transactions still have to be energetic.

On the first day, he made nearly 100 million yuan, and then he also made tens of millions of dollars in profit every day.

It was repeated day by day. Although he was making money, he was nervous every day, and Lu Ze was also physically and mentally exhausted.

Even Zhang Cheng and his team were exhausted because of the tension.

Finally, the day came on April 3, which was the departure time that Lu Ze had already set.

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Chapter completed!