Fidelity has been boosting its holdings in blue-chip stocks in a "buying spree" this year, Reuters reports.

Fidelity’s first-quarter portfolio report shows in the first three months of this year, Fidelity bought more than 13 million shares of International Business Machine Corp., 35 million shares of General Electric Co., 13.1 million shares in Johnson & Johnson Co., and 14.7 million shares of biotechnology Amgen.

Fidelity has been spending cash built up in some of its stock funds as well as using new cash inflows to add to some of its largest holdings, John Bonnanzio, editor of Fidelity Insight, an independent newsletter, told Reuters. "Net net, they are definitely on a buying spree in the quarter."

The roughly $58.7 billion Fidelity Magellan fund had about 3.8% of the fund’s assets in cash as of March 31, down from 4.4% at the end of December.

However, Fidelity cut its stake in Dell Computer Corp. by 21.6 million shares to 88.8 million shares in the first quarter.

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