It looks like one very large trader involved in the massive nickel short squeeze on the London Metal Exchange can breathe a sigh of relief, at least until the next economic dislocation kicks in. Considering the pace of past events, that should be in about a week.
Chinese nickel titan Tsingshan Holding Group,… controlled by Xiang Guangda – known as “Big Shot”, or is that “Big Short” – faced billions of dollars in trading losses after Russia’s war in Ukraine set off an unprecedented rise in the price of nickel, and which soared by a record 250% in two days.
Not surprisingly, it seems that a convenient bailout has been arranged.
Tsingshan Holding has won credit promises from – drumroll – none other than JPMorgan Chase, and one of China’s largest banks, China Construction Bank,….
…Chinese authorities also directed Tsingshan’s domestic banks to offer more credit lines to the company, with the bulk of the new capital going toward satisfying the margin calls on its existing positions on the London Metal Exchange.
I’m holding CNRL(CNQ) on the tse. I might need a Bail Out. Lol
once again regulators charge in to save a company that didn’t seem aware that shorts have the ability to inflict practically infinite losses if you get caught going the wrong way…
not sure why JP Morgan Chase is giving them a bail out though, seems like a bad risk
Well, the LME (London Metals Exchange) is mostly owned now by Hong Kong interests, who of course are now beholden to the Chinese Communist Party, so of course the LME would manipulate the trading/settlement rules to protect a Chinese state-owned business.
Welcome to the New Mercantilist Age.
“…none other than JPMorgan Chase,…”
From your pocket to Xi’s.
“So what ever happened to all that Banker Bailout money in 2008”? Oh now I know……
https://projects.propublica.org/bailout/list
JPMorgan Chase Bank N.Y. $25,000,000,000 $1,731,202,357
JPMorgan Chase subsidiaries Mortgage Servicer N.J. $3,235,146,527 -$3,235,146,527
SPAM
It’s time Kate banned Julia, regardless of how much money she makes.
“Yeah, let’s bring on world economic devastation so that there are commodity and food shortages and riots in the streets because people can’t feed their children. That will show Putin who is boss!”
—Colonialidiot and his sidekick King Johan “I” (for “idiot”)
I got me a wooden nickel.
But, then again, I’m just a pleb.
Carry on Masters of the Universe.
The fook outta here.
Ok, time for my macaroni dinner.
Followed by cheap whiskey.
I guess I ain’t in the big club.
Oh, well….
Etcetera.
As the old saying goes-If you owe the bank a million YOU have a problem, if you owe the bank 8 billion the BANK has a problem.
Maybe they’ll get recompensed by the seized assets of truckers, protesters and other enemies of the state…
I was sardonically amused hearing people, who normally participate in a mainly scifi and fantasy discussion blog, comment sarcastically that the funds the discredited gofundme crooks seized will be transferred to causes they endorse, like planned parenthood, the d.n.c., and the clinton foundation…