Fannie Mae-No Politics (FNMA)

[Eazy]

The fact remains that the more Congress delays the reform agenda makes it more likely that FNMA will survive. The private market has a great deal invested in the survival of this company. They are not willing to pick up the slack when it comes to the mortgage market. Personally I think they will tell Congress that sweeping changes in this arena is detrimental to the overall recovery and future expansion of the economy. With that being said, what will Congress replace this entity with? NOTHING! The Wall Street will no longer give to Congressional campaigns and their geese are cooked if that happens. Also, to revamp such a system will take years and over that period of time foreign investor will not invest in the US economy. It is like a boxing match. DOWN GOES THE ECONOMY! DOWN GOES THE ECONOMY! I would look for them to put in safe guards but not dismantle the system.