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Politics : Idea Of The Day -- Ignore unavailable to you. Want to Upgrade?

To: IQBAL LATIF who wrote (29075)	9/30/1999 9:32:00 AM
From: IQBAL LATIF	Respond to of 50167

Motorola's (MOT) Renewed Strength 9/28/99 3:53:00 PM One stock that is avoiding today's broad-market decline is Motorola (MOT - 88-3/8). As of 3:15 p.m., this semiconductor name is ahead by over two points in response to a Wall Street Journal story today that said AT&T (T - 43-9/16) is expected to buy up to one million cable modems from MOT. The newspaper also said T will purchase two million additional cable-television set-top boxes from General Instrument (GIC - 47-13/16). These transactions are worth about $1 billion in total. MOT announced plans on Sept. 16 to acquire GIC for $10.8 billion in stock. After tallying an all-time intraday high of 101-3/16 on Sept. 7, MOT has slumped by about 19 percent en route to hitting a near-term low this past Friday. On Monday, MOT appeared to shake off this retreat, strengthening 4.3 percent on the day. Today's price action has lifted the equity above its 10-day moving average, which had capped all daily closed by MOT shares since September 10. Despite these signs of renewed strength, options players continue to pile on out-of-the-money put positions. Over the last three sessions, put open interest at the October 80 strike has increased by 4,300 contracts. During the past five trading days, 1,500 contracts have been added to open interest on the October 85 put. We consider such pessimism a bullish indicator for the security's short-term prospects from our contrarian perspective.