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Politics : Formerly About Advanced Micro Devices

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To: greg nus who wrote (30268)3/27/1998 12:29:00 PM
From: Brian Hutcheson  Read Replies (3) of 1571020
 
Greg , re. shorts as arbitrage
I live in Vancouver . The underwriting business is well established here . Underwritings normally operate in the following manner ,
the stock is ACCUMULATED at a low price the underwriter then uses the stock to create volume on the way UP , which attracts more buying interest and further increases the stock price . That way the stock is issued at a high price and creates the minimal dilution .
Now could you please explain how short sales can work as Arbitrage ?
BTW last spring / summer you were one of the most bullish on AMD . In fact you managed to create too much expectation in many AMD investors including myself .
Now you are the opposite you have been one of the most bearish since November or so , meanwhile the stock has gone up from $17.125 to $23 +
I think if the past is anything to go buy I am going to start using you as a contrary indicator . Sorry Greg but I have been wanting to post that for quite a while ,
Brian
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