Fannie Mae-No Politics (FNMA)

[955]

Guido2, you may be right. Gov is in a serious pickle. With the DOW spiraling downward out of control and the FEDS lowering rates 0.5% without any effect, Gov only option I believe is to release the HOT POTATOES and hope investors come to the rescue, flocking in in droves and reinflating the housing market, leading to a restoration of the DOW. Fannie and Freddie to the rescue once again. They are the ONLY two capable of such heavy lifting.

My take:

Government is ready to settle and avoid trial. They are hoping a Hail Mary Pass will work. See items 4,5 and 6. Enbanc has ruled on item 4 and this appeals court will take note. Quite sure Sisti case applies to item 5. Not clear about what point government is trying to make with item 6. The corporations had more capital when they were put in conservatorship than they do now despite earning $300 billion while in conservatorship.

Preferred plaintiffs stand to gain more if direct claims are allowed. See items 1, 2 and 3.

No matter what, commons are golden.