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To: Voltaire who wrote (83572)	12/3/1998 7:18:00 PM
From: BGR	Read Replies (1) \| Respond to of 176387

Voltaire, This is the way I understand this, please correct me if I am wrong: A mere $3 upward fluctuation (something which happens almost daily) on 15 million (as you had mentioned earlier) of DELL equity means a profit of $45 million for the MM. And if they let DELL go up by $10 or so, we are talking about 3 times the gain from transports. But they would rather wait to make $40 million off transports before letting DELL go up. Unbelievable! No wonder MM's ROICs are nowhere near that of a company like DELL. In any case, so you do agree that market manipulation is not profitable, right? -Apratim.

To: Voltaire who wrote (83572)	12/3/1998 8:23:00 PM
From: JRI	Read Replies (2) \| Respond to of 176387

Voltaire- <the transports move up 40 million..now they are able to take advantage...> Let me follow the logic of Chuzz (I think) here... Who is on the other side of the trade (when the transports move up $40 million) when Goldman and Merrill sell the transports.....individual investors? In this zero-sum game, it appears that the individual investors are always the fall guy...always taking the losses to "support" this game... Also, wouldn't it be tough for them to unload their (big) position without these stocks falling precipitously...are you assuming that individual investors are taking up all the slack (?)...If other big houses are on the other side of the trade, wouldn't that negate your whole theory? (Maybe I don't know all the facts here, but it appears to me that many individual investors have been a lot smarter than the bigger firms in the Oct/Nov. period)...In fact, a lot of articles have been in print stating that it has been the individual investor (who has been buying to a large degree after the last couple of corrections (and not the big boys)...whether or not this is accurate...well, I guess we can draw our own conclusions... Also, if this were such a sure-fire of making money, why would these firms EVER get involved in more riskier forms of investing their funds (like investing/loaning their money to hedge funds)...as you have described it, it sounds like a money machine (if properly coordinated)...why wouldn't firms just focus on the manipulations you mentioned (and not other parts of the business which may or may not be profitable)...sounds like very little risk, with huge upside reward..