Fannie Mae-No Politics (FNMA)

[Chief Slapaho]

I see FNMA has anchored itself @ $3.17. I know this is not what people want to hear, but I'm pretty convinced, personally, that we're not going to see major upside potential with FnF unless and until the courts vacate Amendment 3, we hit net zero and the GSEs are removed from conservatorship. Any of the above events has the potential of pushing the PPS up over 4 bucks (with removal from conservatorship being a major catalyst). But until then, the PPS is going to continue to chop around the low $3s and high $2s.