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To: Moonglow who wrote (16174)	6/28/1998 6:40:00 PM
From: ANALYST10	Read Replies (2) \| Respond to of 50264

Juanita, You hit on one of the injustices in the business, which unfortunately is immoral but not illegal. An analyst at "XYZ" big brokerage house, is stuck with a sh-- load of stock that they don't want, since the stock is not performing. "coincidentally" an analyst at that firm strangely enough comes out with a recommendation on that stock. They are feeding the market the whole time. When you asked what the hell is going on there answer is, our analysts make their own independent decision and do not interface with the traders or fund managers. It happens everyday and is impossible to prove. You can see it on the screens when you see the brokerage firm recommending the stock and they are all over the offer filling the sells, but to prove collusion, would require getting into a state of mind which is a legal impossibility to prove. Does it happen, absolutely. Every day of the week. Can anything be done about it. We come back to one of my prior posts of "the fox watching the chicken coop" it will never happen. Is it manipulation, yes of sort. But the word manipulation is thrown around all too often. If a player comes into the crowd and he has more money than anybody else he can run a stock. Look at Amazon for example, there were a select few, which are well known that squeezed the sh-- out of the shorts and ran the stock in their faces the past two weeks and put some people out of business and others hurting real bad. The stock has nearly doubled on nothing new, is that manipulation also. Yes, but it is legal. So one must distinguish, what is legal manipulation and what is illegal and what is immoral. One could write books on this subject and the "grey" areas that exist in the market everyday. Some of them would make your hair curl. But as long as they do not violate the rules, there is nothing illegal about it. And until that time that rules are changed they can do it. Traders and fund managers know what the rules are and know how to use them to their advantage. This is no different from a tax loop hole. If the hole that the lawyers created is open, they use it until it is closed, until such time it is perfectly legal. Tax shelters are the best example of that scenario. It was the abuse of the 80's until it was changed. Another example, the end of the quarter is coming, in fact this Tuesday is the end of the 2nd quarter, so what do fund managers do, they attempt to "goose" the stocks that they are heavily invested in to dress the portfolio. "Window dressing" is a common place and is legal. Is it manipulation? There are hundreds of examples. They all border on questionable practices, but are perfectly within the rules. Believe me that fund manager that is incentivized by his portfolio performance whether realized or unrealized profits is doing his damnedest to make it look good for his benefit.