Many people raise funds or securities for stock trading, and the stock price is very high. As soon as the state controls, large institutions cooperate with national policies to deliberately kill the market and let these funded positions withdraw, but it is too much to control.

The introduction of stock index futures was originally to hedge the risk of stock trading, and the loss of stock decline can be offset by shorting the profit of stock index futures.

However, the profit is really too high. Some stocks rose from a few dollars to dozens of dollars. If it is 10 times, even if it drops by 50%, it will still be profitable. These profitable stocks will be sold desperately, as long as there is an opportunity, at any cost. As soon as the daily limit was opened, it was sold, and it hit the daily limit and it was too hard to lift its head.

In order to hedge against losses, many people (here refers to individual investors and institutional investors, not specifically retail investors) have stopped doing stocks and joined the ranks of short sellers, so they have been suppressing stock futures. Stock index futures have a demonstration effect, which also drives stocks to sell desperately. This model is limited, but it has not been sold yet. As long as there is an opportunity, everyone wants to rush out first.

The decline of stocks today leads to the inertia decline of the next day, and those that are not sold today will continue to rush to sell tomorrow.

In this way, the interaction between stock index futures and stocks has been declining, forming a vicious circle.

Don't talk about any means at this time, as long as you can escape, it is more important than anything else.