I am not willing to bet on that but would like to find the info sources telling us precisely where the debate currently stands, moment by moment, outside of the existing conservatorship agreeement, proposed legislation for GSE change and controlled public grandstanding.
The US Department of Treasury and FHFA are executive agencies under the President and so it was hoped that there would be decison making coming out of that office. The President was rebuffed when he tried to dump right leaning DeMarco. However, the Legislative Branch interfered and mixed signals are all that we have.
The US Treasury and FHFA cannot liquidate the GSEs. Only an act of Congress can do that. That is why I cannot bet on collusion. Privatization of large scale GSEs has been discussed, written about and enacted for more than a decade. For an example of what is required in time and effort, review the transformation of Sallie Mae (SLM), a GSE that gradually privatized. Hearings started in 1995. The process got under way in 1997 and was finally completed in 2004. That is at least 10 years in the making not counting the time to get poised to propose and make the change. As privatization was becoming a discussion and hearings were held SLM stock prices continued to steadily increase.
So, the GSEs are not going anywhere with just the blustering and posturing of individual politicians like Jeb Hensarling (R-TX). It will be a public spectacle fought in the open Congress.
News 
Market Data 
Discover 
