Players now await with bated breath for the results of the MSCI index recast which will be announced over the weekend. Considering that the index is closely tracked by most fund managers, the implications are obvious. Most of the buying that took place this week was value-based more than anything else. The high fliers had to take a back seat as investors went about adding promising but under-rated stocks to their portfolio.Buy-back time
That is the latest theme doing the round at the bourses. But it surely has improved the fortunes of many mid cap A group stocks that have been beaten down to ridiculous levels. Stocks tipped as prospective buy back candidates include Wartsila and Apollo tyres. While institutional activity at the Apollo Tyres counter could not be confirmed yet, local mutuals are reported to be digging into the Wartsila counter.
On Thursday, the Coat Hari Mutual Fund and ILFS Mutual Fund is reported to have picked up close to a lakh of shares between them. The volumes and price movement at the counter indicate that there could have been further buying on Friday also. It could not be confirmed if the same players were at work on Friday also.
Meanwhile Coat Hari is also reported to have picked up close to 70,000 shares of VSNL on Thursday.
On reserve fuel?
Uncle Sam seems to have chosen the right time to get out of the Telco stock. Amidst the ongoing frenzy at the counter, Uncle Sam is reported to be regularly pressing sales without creating too much of a flutter. In fact, the fund has been a steady seller throughout this week. On Thursday, it is reported to have dumped close to a million shares.
Surprisingly, the entire lot got absorbed smoothly. Players are expecting some positive measures for the local automobile industry from the government as far as the decision on import of second hand vehicles are concerned. The identity of the buyer is still a mystery. Meanwhile Sam is also reported to be a seller at the Infosys counter on Thursday, offloading close to 60,000 shares.
Value pick?
Tata Chemicals was one of the surprise candidates on the buy list of institutional players this week. Early on in the week, Kind Words Benson brokerage was reported to have picked up close to 8 lakh shares at the counter. On Friday, the Merry Lunch brokerage too is reported to have picked up an unconfirmed chunk of Tata Chemicals shares. It could not be confirmed if both houses were buying on behalf of the same client.
When the bhels toll
After ACC, Bhel has been one of the most sought after and widely tipped stock of the week. On Thursday, Uncle Jam is reported to have got into the act, picking up close to 6 lakh shares on behalf of the Doish Green Fall fund. On Friday also, another 2.5 lakh shares are reported to have been picked up by a overseas fund even as local funds have started to encash their profits.
Among other purchases of the day, the Numero Uno brokerage is reported to have picked up close to 5 lakh shares of Satyam Computer. There was also some buying reported at the HCL Technologies counter. On Wednesday and Thursday, Skroedder added close to a lakh of shares to his portfolio. Prospects of a place in the new look MSCI index is reported to be the latest attraction for players at the counter.
Santosh Nair(email:santoshnair@myiris.com)
Copyright © 2000 Indian Express Newspapers (Bombay) Ltd.