Mid-Caps To The Fore, Rally Spreads
The most heartening aspect of yesterday's rally was the overall breadth in the market. This was borne out by the fact that mid-cap indices outperformed their large cap peers by a handsome margin. The Sensex and Nifty gained 1.9 per cent on average, while mid-cap indices gained 3.5 per cent on an average. At last, the rally seems to be spreading beyond the K-10 index. Meanwhile, leading market makers have decided to get into the buy mode after watching foreign funds make aggressive purchases over the last week.
On the move
Local players are flocking towards the Reliance counter once again after a brief lull. There had been some amount of institutional buying interest at the counter earlier. However, yesterday's rally at the counter has more to do with One-Man and associates rather than institutions.
Renewed interest
After paring exposure at the Indo Gulf counter to a large extent, the Picket Fund is reported to have commenced purchases at the Sterlite counter over the last couple of trading sessions. The fund is reported to have picked up close to 3 lakh shares yesterday. In all close to 4.5 lakh shares have been bought by institutional players at the counter in the last couple of trading sessions.
Buyers at last
Fund managers finally seem to be having a fresh look at the Punjab Tractor scrip. The scrip which had been hammered down to a 52-week low of Rs 757 a few days back, has been hitting the upper end of the circuit filter since then. Big daddy's offshore fund is reported to be one of the prominent buyers at the counter. A strange paradox this, considering that the local fund is hammering the stock while the off shore arm is buying the same.
Out of patience
Some amount of profit-booking is setting in at the M&M counter. Incidentally, during the strike at its Kandivli unit, there were no dearth of buyers. After the strike has been resolved, the scrip has constantly been under pressure. Local players are reported to be sellers at current levels. Skroedders has already purchased close to 1.5 million shares over the past month alone. The shares were supplied by the Daddies, both big and small, to a large extent. Perhaps, Skroedder's could be waiting for prices to weaken further before he resumes his purchases.
Silence please
The co-promoter at the Silent Operator's brokerage is reported to have stepped up his activities at the Parke-Davis counter. In the past the scrip had been witnessing activity mainly on rumours of the sale of its property. With MNC scrips not exactly hot on the list of fund managers buy list, there has been very little institutional buying interest at the counter. As a result the scrip would move up on rumours and then plummet sharply after the company's denial.
Now the sale of property is finally official, the operator at the counter must be trying to sell a new story.
Meanwhile, close to 3 lakh shares of Zee Telefilms is reported to have dumped yesterday. It could not be confirmed if it was the asset management arm or the broking arm of Jordan Flaming. Considering the manner in which the scrip prices have moved up, fund managers will be only tempted to realise part of their profits
No let-up
Fund managers continue to pile on to the Global Tele scrip even as the scrip is hardly showing any signs of technical correction. Close to 2 lakh shares are reported to have been picked up by a London based fund, whose exact name could not be confirmed. If Ranbaxy was One-Man's favourite for 1999, Global will be the scrip for 2000, say sources close to One-Man. While no one disapproves of the fundamentals of the scrip, every fund manager is very keen to add the stock to his portfolio, lest his NAV suffers.