Replies to post #623416 on Fannie Mae-No Politics (FNMA)

[kthomp19]

not sure about this political black eye from SCOTUS - any such ruling comes in Biden term right?

Probably. Though that gives even a Biden administration a reason to settle, which would need to involve not completely screwing over the companies.

I don't think Biden will be hostile to recap and release, but it's not a certainty.

Mnuchin waits for SCOTUS Ruling means the admin action is over under Trump right?

Yes. If Biden's term starts and the seniors/NWS thing isn't resolved, I wouldn't count on it happening any time soon. That's the bear case here, and most likely a large part of the reason that the prefs aren't much above 25% of par.

The tax cut was supported by the Republican Congress and so was passed by the people’s duly elected representatives to benefit ALL citizens...

The other side of the aisle surely disagrees. The 2017 tax bill passed even though zero Democrats voted yes. The ACA in reverse, if you will.

Ramming things through like that only serves to make the other party more recalcitrant, though it's hard to imagine how much worse things could be in that regard.

Anyway, I will see where SP goes and what cash I have in Oct, then I will decide...

Can't blame you at all. I'm still holding for now because I think there could be short-term catalysts, along with me not being confident enough in other investments to take the plunge. I wish you good luck in your other investing endeavors.

[FFFacts]

not sure about this political black eye from SCOTUS - any such ruling comes in Biden term right? Mnuchin waits for SCOTUS Ruling means the admin action is over under Trump right?

scotus hearing could be in Oct, Nov, Dec, a ruling could happen before but it could get prolonged until next year.

Waiting for scotus doesn't mean admin action is over. There are steps that can be taken that avoid mooting scotus and there is also action that can be taken to moot scotus.

Admin action would be a back room deal to benefit Trump cronies - and the cries of corruption go up. Maybe Trump won’t care but he is a thin skinned and unpredictable creature

I don't think he cares but I also don't think he is doing this exclusively to benefit his cronies. If that were the case then why didn't he do something to help his hotelier buddies like monty bennet who made large contributions but got no relief from the closures. Even had to claw back the ppp loan. If he does take admin action it will be because he doesn't want biden to have control of the gse's and because it is the right thing to do.

Anyway, I will see where SP goes and what cash I have in Oct, then I will decide... this market is such a shit-show that this might be comparatively attractive by then lol

I told you don't underestimate the power of the PPT. The fed put is real. Look at what happened with some of the stocks I mentioned to you earlier like tup, mfa, xam, ivr prefs, etc... They are 500 to 1000+%. This isn't pure capitalisim there is too much govt intervention propping everything up. Once that stops or they stop backstopping everything then beware.