TandH rumours14 Nov 2007 13:28
its the new game in the City...AL. have made it clear they not only have no funding worries but have been buying back shares. The sp dropped from 700 to 635, then it was brought up to 680 (before falling back to 675). Buying at 635 and selling at 675, is 6.39%. Not a fortune if one is just buying a few thousand, but milions of these shares are traded every day. Every week both banking and mining shares are subjected to this. Barclays had the rumour treatment recently. Yesterday XTA dropped 4% and rose back from the ashes today. This form of swing trading (with so many shares on loan) must be the only source of profit (for institutions able only to trade in FTSE100/250 shares) in an otherwise flat market.