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Combine egg yolks, lemon juice, salt and red pepper in container of electric blender, set on high speed and process for 3 seconds. Turn blender to low speed, add butter to yolk mixture in a slow, steady stream. Turn blender on high speed and process until thick.
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Combine wine, vinegar, shallots, tarragon, and pepper in a small saucepan; cook over high heat until almost all the liquid evaporates. Add to mixture in blender and process at a high speed 4 seconds.
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