I definitely think it was a general reference, not directed at any one rock star in particular. I imagine a hard-working, blue-collar guy, like the one depicted in the song, would find any "pretty boy" rockstar with eyeliner on, to be fey.
I also assume Knopfler used the word "faggot" in the song because it wasn't really referring to anyone's sexual orientation in a derogatory way, but rather the notion this fellow had that any man with earrings, makeup, and styled hair, is not a "real" man.
My high school Crafts teacher used to let us listen to the radio in class, but anytime "Money For Nothing" came on, he'd make us turn the channel or turn off the radio... because of the "faggot" verse.
Always bummed me out, because I love the song!
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"Although the arrogance of fame lingers like a thick cloud around the famous, the sun always seems to shine for Stevie." -- Richard Dashut, 2014
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