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To: dennis michael patterson who wrote (34383)	1/11/1999 9:52:00 PM
From: GST	Respond to of 164684

dennis -- How do the hedge funds leverage up? They borrow money. But that can be harder when you are talking ten to one leverage. There are indirect ways to do it. One is to short gold -- borrow and sell on the open market. This has been going on for years. Can you borrow ten times your capital at 2%. Me neither. But they can. And they can take the ten to one and go into derivatives from there to get to one hundred to one. AG can squeeze these guys if he wants to, and he can signal to them what he wants from them in return for not squeezing too hard. Some people naively think there is 'just plenty of money' like it came out of the sky. AG is their banker, their rain-maker,and they are going to be very, very nice to him. TA? News releases? Fundamentals? Day traders? In the end they are all completely irrelevant. If AG wants AMZN's head he does not even have to pick up the phone -- and he wants it to set an example. They all owe him and he has made it known -- it is time to show a little respect cause the inets are stinking up the place. For the funds, the best part is they can make money doing it. I never suggested going short, just standing clear.