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Posting about other posters is the last refuge of the incompetent.
Go to what? Hell?
Judgment Notwithstanding the Verdict (JNOV)
Definition
A trial court's judgment setting aside the jury's verdict and entering a contrary judgment, if the court concludes that no reasonable jury could have reached the verdict that the jury reached in the case. The abbreviation JNOV comes from the Latin phrase non obstante veredicto. In U.S. federal courts, a judgment notwithstanding the verdict is called a judgment as a matter of law (JMOL).
https://www.quimbee.com/keyterms/judgment-notwithstanding-the-verdict-jnov
💥Way too much misguided hate 👺 here, and way too little meticulous analysis.💥
In "Full View" I get lost because the already read postings are not highlighted.
For the JPS the damage is much higher than the prejudgment interest.
FNMAS: 70 cents damage + 11 to 25 cents interest = 81 to 95 cents.
FMCKJ: 70 cents damage and no interest = 70 cents.
No one knows why, and Lamberth remains silent. Until there is a final judgment, the whole trial was just a wet dream for shareholders.
By the way, only in banana republics are court rulings suppressed if they are not to the liking of those in power.
Minor correction:
FNMAS ~ 70 cents + another ~11 to 25 cents in interest
The plaintiffs had sought $1.6 billion in damages. Lamberth awarded $612 million.
38% of $1.6 billion is $612 million.
"Golden Cross" was two months ago
https://stockcharts.com/c-sc/sc?s=FNMA&p=D&b=5&g=0&i=t1090314850c&r=1697045190419
Certainly "poltergeist" applies. But in kindergarten it is forbidden to reveal one's secret identities. This could interfere with early childhood development.
For similar reasons, adults working at FHFA are not allowed to disclose secret accounts. This could adversely affect planned economic rip-offs.
Is "$5 by Friday" before or after that?
Without Lamberth's final verdict, which will be postponed until never-never day, practically no jury decision has been made. It was all just a bad dream for the FHFA
I find the CBO idea that first a capital raise will be carried out and afterwards "any proceeds left" would be used to partially repurchase SPS rather naive.
Because no investor in his right mind would participate in a FnF capital raise while the SPS are still outstanding. If the government would finally decide to convert the SPS to commons, all subscribers to the new shares would be diluted (together with the legacy commons) and taken for fools.
Notice how Fed and Fiscal policy since 2012 have contributed to if not created this crisis. Private capital and a return to the counter cyclical mission of the GSE’s is the only way out. Peter Wallison and Co didn’t want you to own a home. Now most Americans cannot. pic.twitter.com/wPjdl36nX0
— Tim Pagliara (@timpagliara) October 9, 2023
Thanks FOFreddie - I agree with you that Biden will not act out of his own conviction or insight, but because third parties signal to him the need for action. Nevertheless, in the end, the whole thing will be seen as "Biden's decision," and Yellen and S. Thompson will do what they were told to do "by Biden." The third parties thus tip the scales.
If the proposed "End of GSE Conservatorship Preparation Act of 2023" should pass Congress, Sandra will speak despite donut constipation.
https://www.govtrack.us/congress/bills/118/hr5549/text
But how could it happen that the robbed NWS funds were used to cross-finance Obamacare in 2013, bypassing Congress? There was no majority in Congress for Obamacare, and yet the money flowed.
And why, in a key Brookings Institution paper (Feb. 2021), did Mike Calhoun propose spending the "up to $100 billion" from recap/release on affordable housing? Does that only work if Democrats have a majority in both the House and Senate?
https://www.brookings.edu/articles/government-sponsored-enterprises-at-the-crossroads/
Biden's only option is to collect the $100 billion from recap/release while he can. A bird in the hand is worth two in the bush.
Unfortunately, his printing calculator does not have a fax interface. This makes communication with other authorities very difficult.
Why should this rounding error be relevant at all? At least for those who argue about $200 or $300 price target?
The instructions would be given secretly to keep everything nice and legal
A consent decree (5th Letter Agreement initiating R/R) between FHFA and Treasury could be a loophole for Biden/WH to initiate things that the current Congress would not accept. Republicans f. e. would not accept a $100 billion program to reduce the racial gap in home ownership.
I think it's perfectly okay to share ideas about possibilities here. We don't have to agree. But it's important to keep all possibilities in mind, and that includes the ones that hardly anyone is counting on.
I also believe that after Lamberth the legal situation has changed - to the detriment of the government.
Perhaps the notion that activity for release must necessarily come from the FHFA director is misguided. It is much more likely that Treasury will take action and that Sandra will dutifully follow instructions.
Sandra is only a pawn in the game. She does what she is told "from above." The fact that she is dumb and/or lazy therefore doesn't rule out a release. She said several times that "the government will decide." So that's not her.
There is also the (remote) possibility that a settlement is being prepared. FHFA and Treasury could decide to release the twins and raise capital via 5th letter agreement. Then, most likely, all Fannie and Freddie shares (commons & JPS) would be suspended from trading for an extended period of time. With the capital raise, enough capital would come in for Lamberth to pay out the $612 million plus interest (which he probably can't do before a capital raise).
Lamberth's silence would thus be deceptive because it could be accompanied by frantic backroom activity. That's where the negotiations are taking place between the government, the subscribers to the new shares (e.g., sovereign wealth funds from the Middle East, hat tip to Mnuchin), and the JPS holders for the distribution of the pie. Today's sharp drop in commons may foreshadow expectations of heavy dilution. JPS, on the other hand, are up in price today.
All pure speculation, but I still think it's worth mentioning.
For Biden, the clock is ticking. If he wants to spend the up to $100 billion from R/R before Nov. 2024, he must take action now.
From a contrarian point of view, it could become most interesting if the positive spin doctors gave up.
no, I don't.
There is an indirect insight in the sense that all positive hope, as spread by GB or TH, has been misplaced.
Today at #SCOTUS we'll hear arguments over the fate of the Consumer Financial Protection Bureau's funding mechanism, the latest case the court will consider about "administrative state" powers that could have universal implications.
— Katie Buehler (@bykatiebuehler) October 3, 2023
Story by @JeffOverley https://t.co/ZIe1b28MhB
But why then do Mike Calhoun and Lewis Ranieri propose that the government's stake in FnF could be sold (after recap/release) and the proceeds could be used for affordable housing (link below)? Does this only apply if Democrats have a majority in the House and the Senate?
https://www.brookings.edu/articles/government-sponsored-enterprises-at-the-crossroads/
Or can they - once again - bypass Congress by funneling the proceeds of the stock sale to FHFA, which can spend the money as it pleases because it is not constitutionally funded?
As we know, it also worked out great with the money from the NWS, which was used to cross-finance Obamacare.
On point. Calabria’s capital requirement never made sense, especially considering his quoted ‘IPO in 2020’. There was NO scenario in which an IPO with a 4.5% cap req was financially feasible (even pre Covid), displaying lack of operational subject matter expertise by the academic… https://t.co/OBf4IRKPGh
— Alec Mazo (@Alec_Mazo) October 2, 2023
Sandra follows a similar approach as Sam Bankrupt. The main difference between the two is that Sandra spends other people's money.
Just read this sentence from the Jon Wertheim article on SBF (your link):
It would take the government several months to sell its stake in FnF (after recap/release). And just preparing for recap/release probably takes another couple months. Biden will be lucky if he can dispose of the up to $100 billion before the Nov. 2024 elections - even if he initiates everything NOW.
How is the fact that FnF is not allowed to distribute dividends and other payments (e.g., Lamberth litigation claims) due to undercapitalization consistent with Sandra paying $1.1 billion in disguised social welfare programs ("reducing the racial ownership gap") out of FnF coffers? These social welfare programs are government tasks that Congress has to vote on. It's simply illegal for social welfare programs to be paid out of FnF's equity - bypassing Congress. Or can Sandra do it anyway because "the Director determines [if it] is in the interest of Conservatorship"? LOL
And I'm not Bradford, as Guido correctly pointed out.
I think it's unfair that Sandra will continue to receive money and (donuts / rubber chicken) in the upcoming Government shutdown because she is paid by FnF. This makes her fare much better than the many police officers, teachers and firefighters who receive nothing.
This is another way Sandra benefits from the unconstitutional funding of FHFA. The whole thing stinks anyway, because FHFA is considered (when needed, e.g., in lawsuits) to be a "government agency."