Fannie Mae-No Politics (FNMA)

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Fannie Mae, Freddie Mac shares down in early trade

 

(Reuters) - Shares of mortgage guarantors Fannie Mae and Freddie Mac fell in early trading on Thursday after the head of the regulator that oversees them said late Wednesday a hotly anticipated blueprint for overhauling them might not be published until September.
Mark Calabria, director of the Federal Housing Finance Agency (FHFA), which oversees the government-sponsored enterprises, told Reuters it was his "hope" that they would have exited or be ready to exit conservatorship before his term ends in 2024.
Common shares of the Federal Home Loan Mortgage Corp (Freddie Mac) (FMCC.PK) were down 3.9%, and shares of the Federal National Mortgage Association (Fannie Mae) (FNMA.PK) down 3.4% in early trade.


Fannie and Freddie, which guarantee over half of all U.S. mortgages, have operated under government conservatorship since their bailout during the 2008 subprime mortgage crisis. Washington has struggled for years to devise a plan to safely return them to the private sector.
Calabria's comments will temper market expectations for a speedy overhaul of Fannie and Freddie before the 2020 presidential election.

(Writing by Alden Bentley; Editing by Chizu Nomiyama)

https://mobile.reuters.com/article/amp/idUSKCN1UD23F