Castrol flares up on buyback buzz

DALAL STREET SPIKES

Castrol stock spurted on the buyback rumours. The stock of oil lube major was up 12.37 per cent in Monday's trading and has appreciated more than 17.3 per cent in last three trading session on renewed buying interest.

A dealer with a domestic broking firm said, "In every bull rally, when the Castrol stock appreciates more than 10 per cent, rumours of share buy back run thick and fast in the market."

In Monday's trading the counter witnessed impressive volumes of more than 7.81 lakh shares on the BSE. From a low of Rs 163.20 on 4 November, 2004, the stock has now appreciated by over 27 per cent to Monday's close of Rs 215.75.

Sector analysts said that the rapid growth in the auto sector has also propelled offtake of Castrol lubricants in the current year.