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Politics : Ask Michael Burke -- Ignore unavailable to you. Want to Upgrade?

To: Squidman who wrote (33460)	10/7/1998 10:22:00 AM
From: Knighty Tin	Respond to of 132070

10 Arms, Usually, the index funds, being brain dead, kick out the stocks being eliminated and buy the one being added as soon as it is announced. Some of the smarter ones use futures to ease in and buy the shares after they come down off the artificial high. But the index addition does add buying support to a stock initially and as long as equity mutual fund purchases are positive. And, of course, quick traders try to pick off the forced hands of indexers by getting their first. However, equity fund sales are negative now, so the good times for being placed on a list may not last forever. MB