Fannie Mae-No Politics (FNMA)

[obiterdictum]

Good analysis. Bernanke is not very good at instilling confidence about the economy in his audience. Sort of clueless about doing that. He basically said there are no changes from the current QE policy. There will be changes in the future depending on what the numbers bring in. He basically said there is no difference today, than there was yesterday or tomorrow, if the "numbers" do not change. Not much news, yet the DOW sunk big time. Glad FNMA and FMCC have never been tied to the $DJI.

As you point out, what employment numbers will be used to determine thresholds and triggers is important. Few people know about the different measures of labor utilization so to complement your analysis, the following link can be used to see the differences in "U3" and "U6" labor utilization categories.

Table A-15. Alternative measures of labor underutilization
http://www.bls.gov/news.release/empsit.t15.htm