OX-strata

A couple days ago, I had a hint of Oxiana's share price appreciation. But honestly, I did not expect it to be happenning now. Oxiana's share price is running for the last today. At the time I write this blog, it was up as high as $3.58, as high as 6% increase from yesterday.

Apparently, there are few reasons behind the increase, one of them is a speculation that Xstrata might want Oxiana. The Australian reported this today:

Xstrata may be eyeing Oxiana

ALL the market chatter yesterday was around Oxiana given some 40 million shares changed hands in the biggest daily turnover since the March 3 marriage to Zinifex was announced.
At the same time, there were 2500 July $3.75 option contracts that rolled over, which could explain some of the trade without having to even mention the rumour of the day, an Xstrata bid for Oxiana.
The theory is that Ken Talbot's pals at Hong Kong-based Citic will bid for MacCarthur Coal, not Xstrata, leaving the latter to break up the Zinifex marriage.
In the absence of any evidence last night, we will stick to the technical reasons for the heavier than normal volume.
But watch this space, because the same dealing desk that bought you the BG bid for Origin a day ahead of time is spruiking this one.