Fannie Mae-No Politics (FNMA)

[big-yank]

No, I have to disagree with that assessment. I do not see the recap funding as having any immediacy. The crisis is over. Fannie's cash position is strong. Fannie's at risk loan portfolio has been cleansed and probably needs no more than a 1.5 - 2% reserve, allowing a cushion of several years where income can be used to fund either borrowings or interest on new equity offers.

I do not think Trump or Mnuchin will want to see the documents released, anymore than Obama did. There are secrets that need to remain secrets in government affairs. Embarrassing Obama only greases the skids for a later embarrassment of Trump. Nobody wants or benefits from "going there".

Congress railed on for years about reforming the GSEs including during the pre-conservatorship era of accounting scandals, lobbying excesses and "wild west" behavior that rankled many inside the Beltway. Going back to where things were in August, 2008 is not an extreme or especially risky move, whatsoever. It would resolve the vast majority of pending legal complaints, and leave the courts to argue over the minutia... assuming the bankrolling sponsors in the hedge fund actions don't just take their victory-in-hand and bail on the entire, prolonged and hugely expensive venture.

JMHO.