Fannie Mae-No Politics (FNMA)

[lushka]

Could be .I wish I knew! However not much on the downside excepting possibly a minor negative court decision which likely wouldn't have a great impact on the pps..Doubt their would be a big impact even if Delaware should go south. The big case is Sweeney's ...and that is caught up in the document/discovery issues right now (which ultimately could be positive , not negative). Also in the next 8 weeks , Congress not likely to do much with the GSE's from a bipartisan standpoint After that we are into the Holiday season .So downside for pps. seems to look limited. On the upside there are rumors of a "blowout" earnings (at least for Freddie) in the 3rd Quarter,predictions of NWS reversal (from Corsi and I believe 2 others) in the backdrop of of the GSE's now have fully paid the Government back of a fraudulent loan, and the considerations of impact of the DTA's , tax reform and the loss of the capital buffer as we close out the year ( this latter point seems to be more of a positive factor the closer we get to 2018 coupled with Congress inactivity)