On March 27th, the national debt incident, Guan Jinsheng threw out more than 7 million contracts to suppress the contract price before the market closed on the last trading day. However, after the market closes, all open contracts have to be delivered in kind. He can't deliver so many government bonds at all, so he will face more penalties for breach of contract.

This is an obvious economic crime.

1, Guan Jinsheng's opponent is Zhong Jingkai. At that time, Zhong Jingkai already knew that the Ministry of Finance was going to post 32 1 national debt, so he had no fear and did more. Guan Jinsheng judged from information and practice that the Ministry of Finance will not post 327 Treasury bonds, so it is unfair for both sides to short, and the Ministry of Finance plays the role of referee.

2. In Guan Jinsheng's eyes, the other party is even crazier. The so-called winner is king, and the loser is the enemy. The national debt contract you mentioned is not enough. At this time, it has become an emotional dispute. If you die, you can't let the other person live.

3. Guan Jinsheng threw out a large number of empty orders before the market closed for two purposes: (1) to promote the liquidation of the agreement; Suppress the futures price of government bonds and lower the settlement price.

The so-called settlement by agreement, generally speaking, is that when both parties violate the rules, the regulatory authorities force both parties to carry out liquidation through administrative means. The principle of settlement by agreement is generally "the loser pays less and the winner earns less".

Before the 327 incident, there had been many liquidation agreements in the treasury bond futures market, and both sides violated the rules in the 327 treasury bond incident. Of course, Guan Jinsheng refused to give up so easily. As a result, he took a gamble and sold an empty order, forcing his opponent to explode like himself because he couldn't pay the deposit, making the regulators notice the fact that both parties violated the rules, thus forcing the regulators to intervene again and pushing the agreement to close the position.

Because the price when the agreement is concluded is generally based on the settlement price on the closing date. Therefore, if the two purposes of throwing out a large number of orders are achieved, Guan Jinsheng may not only reduce his own losses, but also drag the bulls into the water to relieve his hatred. However, the regulators favored China National Economic Development Bank with the background of the Ministry of Finance, and ruled that the transaction was invalid a few minutes before the market closed, which made Guan Jinsheng's plan fall through.