Monday. The stock market was in normal session, and all four major exchanges were packed with people.
Hutchison Whampoa was once again the brightest star of the day, drawing intense attention. Not only shareholders, but even those without holdings were watching its movements closely.
Sharp rises and falls were especially attractive to short‑term traders.
By last Friday's close, Hutchison had ended at HK$3.02.
After the morning auction, it opened at HK$3.18 — a 5.3% gap up.
Despite the weekend's flood of negative news, which led many investors to sell during the auction, it wasn't just Lin BaoCheng's side buying. Even Li JiaCheng's group was buying, so the price opened higher.
"Opening this high, it'll surely fall back!" "If it opened lower, I'd buy for a rebound. High open, forget it." "It'll spike, then drop below HK$3 once someone takes the bait."
Many believed big capital was trying to rescue itself — lifting the price, then dumping shares onto others.
Some expected a pullback, others a rally, so they rushed in.
But what shocked everyone was that after a few minutes of choppy trading above HK$3, the price suddenly shot up, reaching HK$3.5 — a 17% gain.
This happened because Li JiaCheng's group, initially waiting to see if it would fall, realized selling pressure was strong but buying was stronger. The trend was upward.
Knowing their short was doomed, they abandoned suppression and instead bought heavily.
Within five minutes at HK$3.5, the stock surged again, breaking HK$4 — over 30% up.
Barely ten minutes into trading, Hutchison had risen 30%. At HK$4, it didn't collapse, but moved sideways, surprising many.
At HK$4, institutions and retail investors — unaware of the truth — continued shorting, trying to push it down.
But buying power was immense. A fierce tug‑of‑war ensued, with swings over 10%. One moment HK$4.2, the next HK$3.8.
Lin BaoCheng wasn't at the exchange, but when staff reported the 30% surge within ten minutes, he was puzzled:
"So much buying… who is it?"
He didn't dwell. He called Iwasaki FengLong and An Yuan, ordering them to buy aggressively until all funds were spent.
Minutes later, the stock exploded upward again, breaking HK$5 and climbing further.
"What's happening? Hutchison's soaring!" "Already HK$5, and still rising!" "Could it double today?"
The relentless rise left many stunned.
Some shorts, seeing the surge, feared insiders knew something, and hesitated to act.
Retail investors, meanwhile, wavered: at +20% they expected a drop, at +30% a correction, at +40% they waited, at +50% they dared not buy. Yet as it rose higher, many impulsively jumped in — becoming bag‑holders.
Most retail investors were like this, easily swept up, buying at highs and becoming "chives" harvested by the market.
But today, those who bought were lucky. The stock kept climbing. Though there were minor pullbacks, overall it trended upward with astonishing gains.
"Don't think you'll scoop up cheap shares!"
When Lin learned Hutchison had broken HK$5 and was still rising, he acted. He called Wei Li: "Contact the media. Announce Hutchison will release major news at 11 a.m."
"Yes, Chairman Lin," Wei replied, puzzled why news meant for after close was moved up, but he didn't ask.
Soon, word spread of Hutchison's 11 a.m. press conference. HSBC and Li JiaCheng's group, knowing the inside story, increased buying. The stock soared further.
By now, Hutchison's shares were highly concentrated. Lin himself held 49.9% — nearly 200 million shares.
The HK$100 million buyback plus Lin's own HK$100 million had secured over 50 million shares. Lin and Iwasaki's partnership held another 50 million. HSBC also held over 50 million.
Together, more than 350 million shares — nearly the entire 400 million total.
Previously, the price could fall because many borrowed shares were shorted. With margin shorts, circulating shares exceeded 200 million.
Lin had promised not to sell, and kept his word. But he had pledged 90 million shares to HSBC as collateral. The loan agreement allowed HSBC to lend them out for shorting, provided they returned them when repaid.
Thus, circulating shares were nearly 300 million. Lin and HSBC together held over 150 million, leaving at most just over 100 million available. Depending on margin shorts, it could be less — perhaps only 250 million circulating.