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Strategies & Market Trends : Moomin Valley (formerly Troll-free Zone)

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To: RealMuLan who wrote (1319)4/26/2006 8:47:12 PM
From: Moominoid  Read Replies (1) of 2852
 
I think the implication is that foreign investors and domestic mutual fund buyers are buying from the big players, insiders etc. Just when GOOG was added to the S&P 500 required the funds to shell out billions - and because it was due to a merger taking another stock out of the index they weren't selling something else. Foreign investors and mutual fund investors are generally seen as the bag-holders :) It was the same in 1999-2000 foreign purchasing of stock was up.

The difference this time around is a lot of firms are buying back shares. Which is odd if they are really overvalued. But maybe just to ramp up the executives deferred compensation by pushing up the stock price..
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