Still, this amount was more than enough. During the persistent volatility in oil futures prices, he rode the market's momentum, chasing rises and falls. He kept his transactions to around ten thousand contracts at a time, and by Christmas Eve 2006, his account had accumulated to $310 million.
At this point, Yi Anguo had no open positions left. He once again transferred out $210 million, leaving only $100 million behind. After the international crude oil futures price rose to $61 per barrel, he decisively shorted thirty thousand contracts.
Based on his memory of the 2007 international crude oil futures market, the year began with a continuous, sharp decline in prices.
When the fundamentals of supply and demand, geopolitical risks, and speculative capital were all relatively stable, weather became the most important factor affecting oil price trends.
A mild winter reduced the demand for heating oil, leading to higher-than-expected inventories that prompted a year-long downturn. On January 18, the price of crude oil futures on the New York market plummeted to $50.48 per barrel. This represented a 34.5% fall from the historic high of $77.03 set in July 2006, reaching the lowest price in nearly twenty months.
When the international crude oil futures price dipped to $58 per barrel, Yi Anguo added another twenty thousand short contracts. When the price fell further to $55 per barrel, he added another thirty thousand short contracts.
On January 18, 2007, when the international crude oil futures price dropped to $51 per barrel, Yi Anguo began to close out all of his short positions ahead of schedule.
At this point, the total assets in his international crude oil futures account reached a staggering $660 million.
Yi Anguo again withdrew $560 million, once more leaving just $100 million in the account.
When the international crude oil futures price fell to $50.50, Yi Anguo directly purchased fifty thousand long contracts.
In March, international oil prices began a steady, sustained rebound. A nationwide blizzard in the US spurred demand for heating oil, and the abrupt change in weather created an opportunity for an international oil price rebound. In February, prices had already returned to the $60 per barrel level.
From March to June, on one hand, the weather gradually warmed, improving the US oil inventory situation. On the other hand, oil production was reduced due to malfunctions at companies such as Total US, British Petroleum, and Chevron.
This mix of factors caused international crude oil prices to fluctuate widely within a range of $56.50 to $66.00.
The rebound in international oil prices gained momentum in the second half of the year, reaching new heights. Starting in July, the price of international oil accelerated its climb. Even though the US economy showed signs of slowing down, economic growth in Europe and Japan was notably better than expected.
The economies of China, India, and other nations were growing rapidly, leading to robust global demand for oil.
Tight gasoline supplies in the US and ongoing refinery problems continued to plague the international oil market. These issues, compounded by the intensifying Iranian nuclear situation, heightened tensions in Nigeria, and oil pipeline leaks in New York and along the US Gulf Coast, caused prices to trend upward with volatility. By the end of June, the price was already nearing $70 per barrel. On July 31, it reached $78.21 per barrel, breaking the previous year's record high.
In August, affected by the US subprime mortgage crisis, international crude oil prices experienced a brief, sharp decline, but in September, they picked up once again.
Joint intervention measures from European and American central banks, which injected funds into the financial markets, helped to stabilize the situation and mitigate the impact of the subprime crisis.
Meanwhile, Tropical Storm Dean, which had formed in the Atlantic, threatened the central Gulf of Mexico. The storm posed a risk to local oil production facilities and the overall oil supply, causing another rebound in international crude futures. By September 13, WTI crude oil futures on the New York market broke through $80. On October 19, the price spiked past $90 during intraday trading before closing at a new historic high of $89.47.
In November, although OPEC announced an increase in crude oil production of 500,000 barrels per day, it was completely unable to stop the rise in international crude oil prices. By December, the price peaked at just over $99 per barrel, barely shy of breaking the $100 mark.
In the first half of 2008, international crude oil prices soared even higher, cresting at more than $147 per barrel in mid-July.
During this period, the battle between bulls and bears was extremely fierce. Daily price fluctuations were huge, with the gap between the day's high and low often reaching five or six dollars. It was not uncommon for the difference to exceed ten dollars.
After that, prices began a volatile decline. By Christmas Eve 2008, the international crude oil futures price had plummeted to $36 per barrel. In a little over five months, the price had dropped from $147 per barrel all the way down to $36 per barrel.
In the second half of 2009, after the world economy began to recover, international crude oil futures prices rose again to around $80 per barrel.
During the three years from 2007 to 2009, the international crude oil futures market experienced violent price swings. For anyone who could master the trends, making a profit was almost too easy.
With strong financial backing, Yi Anguo could increase his investment in the Quiet website, accelerating the construction of its self-operated logistics system and speeding up the launch of the Quiet online supermarket in major cities nationwide.
At the same time, he could also continue to increase his investment whenever Huaxin Company needed more funding.
Since I've already started, I have to be the best. In the future, Huaxin must surpass Center International.
And I don't want Huaxin to just be another contract chip manufacturer like Center International. It needs to achieve comprehensive development across the entire semiconductor industry.
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