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President Bush gently nudged authoritarian Arab allies Sunday to satisfy frustrated desires for democracy in the Mideast and saved his harshest criticism for Iran, branding it ''the world's leading state-sponsor of terror.'' Speaking in this Persian Gulf country, about 150 miles from the shores of Iran, Bush said Tehran threatens nations everywhere and that the United States was ''rallying friends around the world to confront this danger before it is too late.''
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