Fannie Mae and Freddie Mac

Fannie and Freddie falls over 20% in pre-open trade

Fannie Mae and Freddie Mac fell as stockholders lost confidence in the Treasury's plan to support the biggest U.S. mortgage-finance companies.

 mvh spx970

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

Ingen fara ,faktum är att de två are too big to fail. 

Säg det till dem som köpte aktien och trodde på too big to fail...

Baghdad Bob är tillbaka

Text of President Bush's news conference

Q: Mr. President, are America's banks in trouble? And does the rescue of Freddie Mae and Fannie Mac (sic) make more bailouts inevitable by sending the message that there are some institutions that are too big to fail and that it's okay to take risks?

THE PRESIDENT: First, let me talk about Fannie Mae and Freddie Mac. A lot of people in the country probably don't understand how important they are to the mortgage markets. And it's really important for people to have confidence in the mortgage markets and that there be stability in the mortgage markets. And that's why Secretary Paulson announced the plan this weekend, which says that he needs authorities from the Congress to come up with a line of credit for these institutions, if needed, and that he ought to have the authority to invest capital, if needed.

mvh spx970

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

Roubini ... Dey finns inga lösningar ... no återvändo

Det kommer att bli värre, no reversal...

mvh spx970 

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

#3 Din tråd ska jag markera ,så att säga du tror att  Fannie and Freddie ska falla (enligt vad du har skrivit i den här tråden )och jag säger emot det .

Om det är så vänta bara på uppdateringen av din tråd ,det blir en rolig uppdatering :-)

Redan fallit... och vi lär se mer...

mvh spx970

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

#6 Försök inte och slingra dig genom det här nu .

Påstår du att  Fannie and Freddie faller 8alltså försvinner som bolag och går i konkurs ) ja eller nej .

Nu måpste du våga stå för vad su skriver och svara på frågan.

Fail som jag skrev i inlägg #2 betyder :göra bankrutt, gå omkull

Inlägget är redigerat av författaren.

Som vanligt allt handlar om svara ja eller nej för dig...

Du verkar inte intresserade av tusentals människor som äger aktier i företaget... vad händer med dem... kommer dem nånsis att få tillbaka sina investerrade pengar ...

FF är insolvent och utesluter inte en lösning  A la Bear stearn...

mvh spx970

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

#8 Varför ska jag bry mig mindre vetande ?! ,de är dömda och inte upprepas  ,

Just därför jag och du har blivit upprepad .

Det finns så mycket vits i det jag skrev som kan ändra ditt liv helt och hållet och jag skriver inte sånt till vem som helst ( till de som inte förstår sig på cycles ).

Ta det som ett kompilmang och svara på min fråga :ja eller nej ?

Dömd att misslyckas...

The U.S. Securities and Exchange Commission issued an emergency order on Tuesday placing restrictions on the short selling of shares of certain major financial firms.

The SEC's order will require that anyone effecting a short sale in these securities arrange beforehand to borrow the securities and deliver them at settlement.

The order takes effect Monday, July 21, and will terminate at the end of July 29. The SEC said the order may be extended, but for no more than 30 calendar days in total duration.

The agency identified the following securities affected by its order:

BNP Paribas Securities Corp
Bank of America Corp
Barclays PLC
Citigroup Inc
Credit Suisse Group
Daiwa Securities Group Inc
Deutsche Bank Group AG
Allianz SE
Goldman Sachs Group Inc
Royal Bank ADS
HSBC Holdings Plc ADS
JPMorgan Chase & Co
Lehman Brothers Holdings Inc
Merrill Lynch & Co Inc
Mizuho Financial Group Inc
Morgan Stanley
UBS AG
Freddie Mac
Fannie Mae

Bernanke told lawmakers it's "important" for Fannie Mae and Freddie Mac bonds and stocks to rise so they can keep raising capital and aid the mortgage market. Paulson said the two companies are "essential" because they represent the only "functioning" part of the home loan market. The firms own or guarantee about half of the $12 trillion in U.S. mortgages.

Vi skall inte glömma att kina har samma restrictions men vad hände med börsen... Den föll med 50%...

Jag har för mig att  short sellers  faktiskt hjälpt kursena att inte kolapsa totalt...

När nästa dåliga nyheter slår till vem kommer att våga köpa... och eftersom det inte finns några short sellers  så räkna med fortsätt ras utan återvända ... om inte den amerikanska kongressen ger Bernanke blank check.

Det är bara saningen som måste fram... alla kort på bordet så att marknaden vet... 

mvh spx970

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

spx, en tanke där om att våga köpa. Har för mig att det finns sk. automatiserad handel vid nödsituationer ?? Som t ex efter 11/9.

#11

Det kommer inte att hjälpa banker som kommer att försvinna. 

mvh spx970

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

#10

"Some free markets are apparently freer than others: The price of oil is free to fall, while the stock price of a bank is free to rise.

That is one takeaway from Washington's recent response to market turmoil. By singling out "speculators" who want to push bank stocks down and oil prices up, lawmakers and policy makers reinforce a message that the free market is a wonderful thing as long as it isn't going against you.

The wall street journal

mvh spx970

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

#13 varför går de upp 16/17% idag ? 

#14 Vore väl konstigt om de gick ned varje dag? 

Merrill Lynch Posts Fourth Straight Quarterly Loss 

Merrill's loss was ``inexplicably larger than what people expected,'' Michael Holland, chairman of Holland & Co., which oversees more than $4 billion, said in a Bloomberg TV interview. Thain, 53, is ``going to have an explanation. How people perceive the explanation, how they perceive his vision of where we're going, is key to how the stock performs.'' 

 mvh spx970

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

Inlägget är redigerat av författaren.

video

Bunning Questions Wisdom of Fannie-Freddie Buyout 

mvh spx970

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

Seven Questions: How Bad Will It Get?

When William Poole warned in 2003 that Fannie Mae and Freddie Mac lacked the capital to weather a financial storm, his advice went unheeded. Five years later, the outspoken former president of the Federal Reserve Bank of St. Louis is far too polite to say "I told you so," but he does have a message for the Fed: Wait too long to tackle inflation, and you?ll face an even worse recession in the years to come.

mvh spx970

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

Joe Nocera faces off with Charles Gasparino of CNBC to discuss whether short sellers are to blame for the troubles of Fannie Mae and Freddie Mac.

mvh spx970

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

#14

Varför går det ner?

fannie mae 6,45 seaste

under juli low...

mvh spx970 

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

#20

De går ner pga en artikel i Barrons att staten kan tänka sig ta över bolagen.

Tur att du inte handlar , då hade du varit riktigt utraderad i den senaste tiden grymma rally. Puh!

Mvh lillbuffan

Vidare skrev den ansedda affärstidningen Barron`s i helgen
att det är sannolikt att amerikanska myndigheter kommar att
tvingas rekapitalisera bolåneföretagen Fannie Mae och Freddie
Mac. Detta kommer få negativ påverkan på nuvarande aktieägare i
de båda bolagen. Fannie Mae föll 16,6 procent till 6,59 dollar
och Freddie Mac backade 16,8 procent till 4,87 dollar.

Joakim Johansson, tel 031-350 64 84
Nyhetsbyrån SIX

Mvh traction

Yen Rises as Fannie Mae, Freddie Mac Concern Damps Carry Trade

"...

A U.S. government bailout of Fannie and Freddie would wipe out common stockholders, Barron's reported, citing an unidentified source in President George W. Bush's administration. The two companies have posted bigger-than-expected losses due to record delinquencies amid the worst housing slump since the Great Depression.

Crushed by Debt

``Crushed by ballooning debts, the regeneration by the banks' own efforts is becoming impossible,'' said Tetsuhisa Hayashi, chief manager of foreign-exchange trading at Bank of Tokyo-Mitsubishi UFJ Ltd. in Tokyo, a unit of Japan's largest lender by market value. ``I bet stocks will decline further and U.S. bonds will be downgraded. Risk aversion among investors will cause further yen-buying.''

The Japanese currency may rise to 100 per dollar by year- end, Hayashi said. 

..."
 

Ja, det vore inte konstigt om dollarn tog stryk av en eventuell bail-out, särskilt mot JPY där carry-traden har varit stark. Intressant synpunkt om nergradering av amerikanka obligationer. Kan sätta ytterligare press på USD och ge stark reversering av carry trades.

Mvh, /Leif

#23

Jaså? Hur tänkte du då?

Dollarn ångar väl på dessutom? 

Mvh lillbuffan

#24

Tja, tanken gick väl så här ungefär:

1) nedgradering av US bonds

2) avveckling av (vissa belånade) positioner i US bonds

3) växling av USD mot JPY

4) lösande av lån i JPY

Upprepa 2-4 tills nytt jämviktsläge hittas.

Mvh, /Leif

Metod har faktiskt en hel del rätt. Eller hur rumpan? :)

Mvh Corpsee

Inlägget är redigerat av författaren.

Vad är carry trade menar du då? 

Mvh, /Leif

PS frågan avser Corpsees ursprungliga kommentar.

DS

Inlägget är redigerat av författaren.

corpen, jag har fyra inlägg där du 'tackat för dig' här på AG.

du står inte precis vid ditt ord! 

förlåt, tre var det bara ... men jag kan aktivera alla om du glömt? 

Fannie, Freddie Bailouts May Hinge on Debt Rollover

Aug. 20 (Bloomberg) -- Fannie Mae and Freddie Mac's success in repaying $223 billion of bonds due by the end of the quarter may determine whether they can avoid a federal bailout.

Fannie, based in Washington, has about $120 billion of debt maturing through Sept. 30, while McLean, Virginia-based Freddie has $103 billion, according to figures provided by the government-chartered companies and data compiled by Bloomberg.

Rising borrowing costs and evidence that demand for their debt was waning last month led Treasury Secretary Henry Paulson to seek the authority to pump unlimited amounts of capital in Fannie and Freddie in an emergency. Their interest costs are again increasing amid concern that credit losses are depleting the capital of the beleaguered mortgage-finance companies.

Rolling over the debt ``is the single most important factor to their ability to remain liquid,'' said Moshe Orenbuch, an analyst at Credit Suisse in New York. ``So far, they've been able to do that.''

Investors in Asia, the biggest foreign owner of Fannie's $3 trillion of bonds, are reducing their share of purchases, potentially increasing the need for Paulson to make good on his pledge to backstop the companies.

``This whole backstop mechanism was set up so the actual need for it could be avoided,'' said Mahesh Swaminathan, a mortgage strategist for Credit Suisse in New York. ``The market is testing the Treasury's resolve.''

...

Stödplanen står inför sitt första stora test...

Mvh, /Leif

WASHINGTON (MarketWatch) -- Shares of mortgage-finance giants Fannie Mae and Freddie Mac continued to slide on Wednesday following big losses earlier this week amid increasing fears the government will take steps to rescue them. Freddie Mac's shares were last down about 20%, to $3.35, while shares of Fannie Mae were off 13% to $5.23. Shares of both companies are down more than 90% over the past year...

mvh spx970

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

fre

mvh spx970 

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

``Using taxpayer money to bail them out looks like it's becoming reality now,'' said Michael Nasto, the senior trader at U.S. Global Investors Inc., which manages $5 billion in San Antonio. ``That's going to leave the shareholders holding worthless paper

mvh spx970

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

Mortgage Rates for Best Borrowers Rise as Home-Loan Bonds Slump 

Aug. 21 (Bloomberg) -- A decline in mortgage bond prices is raising interest rates on U.S. home loans, even for borrowers least prone to default.

Rates on average 30-year fixed mortgages rose to 6.37 percent this week, about the highest in six years, as yields on bonds guaranteed by Fannie Mae and Freddie Mac increased to almost the highest since 1986 relative to Treasuries. More than 70 percent of new home loans are bought or guaranteed by the government-chartered companies, known as ``prime'' mortgages.

...

Applications for mortgages fell 34 percent to the lowest level since 2000 in the week ended Aug. 15 from a year earlier, partly because of the increase in loan rates, according to the Washington-based Mortgage Bankers Association.

Investors are demanding 2.03 percentage points more in yield to own Fannie's current-coupon 30-year fixed-rate mortgage securities rather than 10-year Treasuries, according to data compiled by Bloomberg. The spread reached a 22-year high of 2.37 percentage points in March, before narrowing to 1.52 percentage points on May 20.

...

Mvh, /Leif

Buffett on Fannie & Freddie  sammanfattning

Video.. tar upp ekonomin, dollar...

1)

mer här

mvh spx970

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

Video

Take A Load Off Fannie

You put the load right on me 

mvh spx970

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

Detta stoppade nedgången igår...

 
Paulson Plans to Bring Fannie, Freddie Under Government Control

Treasury Secretary Henry Paulson is preparing to announce plans to bring Fannie Mae and Freddie Mac under government control, seeking to halt the crisis of confidence in the companies that make up almost half the U.S. mortgage market.

Paulson met with Fannie Mae Chief Executive Officer Daniel Mudd and Freddie Mac CEO Richard Syron yesterday to brief them on the decision to put the companies into a conservatorship, where they would be removed from their jobs, according to a person briefed on the discussions. A public announcement is expected this weekend, the person said.

...

``They have to open their wallet,'' Gross said, predicting that the Treasury will act this weekend before the Federal Housing Finance Agency releases an assessment of Fannie's and Freddie's capital.

mvh spx970

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

#37 Väldigt positiv nyhet faktiskt  för freddie och fannie och inte minst kreditmarknaden. 

och för metod 

det är marknaden som står för tolkandet av nyheterna och du tradar marknaden
TWA

FOR SKATTEBETALARNA SA KOSTAR DET INTE MER AN 1-2 TRILLIONER ELLER SA.

Den mest possitiva prognosen ar $500 miljarder, alla manniskor aldre an 10 eller sa, vet hur det brukar sluta, med dessa prognoser. Tror inte marknaden slutade falla av denna orsaken. Politiker brukar reagera istallet for att forebygga. Det kommer med storsta sannolikhet sluta med panikatgarder, for att inte hela finansmarknaden skall ga in i ett korthus fall med fannie och freddie. Dessutom sa ar det valar, sa inget kommer formodligen goras forran vi har en ny President. Sa jag tycker det lutar at panikatgarder, vem vet vi kanske redan ar dar???

Mvh usdollar

U.S. Treasury plan could help homeowners, hit shareholders

"If the companies are stabilized and the crisis passes, the stock will be worth a lot," Peter Wallison, former general counsel to the Treasury and a frequent critic of the firms, argued

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

Vi får se hur detta kommer att påverka dollarkursen. Kan mycket väl komma under press när USA nu nationaliserar en mycket stor del av de kvarvarande utestående problemen på husmarknaden. 

Mvh, /Leif

Det är så illa...

 Paulson håller press conference nu

 Fannie, Freddie Capital Concerns Prompt Paulson Plan

Treasury Secretary Henry Paulson decided to take control of Fannie Mae and Freddie Mac after a review found the beleaguered mortgage-finance companies used accounting methods that inflated their capital, according to people with knowledge of the decision.  

Mortgage Giant Overstated the Size of Its Capital Base

Then, last week, advisers from Morgan Stanley hired by the Treasury Department to scrutinize the companies came to a troubling conclusion: Freddie Mac?s capital position was worse than initially imagined, according to people briefed on those findings. The company had made decisions that, while not necessarily in violation of accounting rules, had the effect of overstating the companies? capital resources and financial stability.

mvh spx970

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

Statement by Paulson of Fannie and Freddie

mvh spx970

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

Paulson Engineers U.S. Government Takeover of Fannie, Freddie 

Lockhart said his agency has placed Fannie Mae and Freddie Mac into conservatorship. This was because the companies ``cannot continue to operate safely and soundly and fulfill their critical public mission without significant action to address our concerns,'' he said in a statement. 

``The government wasn't going to allow them to muddle through this mess,'' said Paul Miller, an analyst with Friedman Billings Ramsey & Co. in Arlington, Virginia. ``No way were they going to be able to do that because the market was going to freeze up.''

Capital Concerns

Paulson's decision, taken after consulting with Federal Reserve Chairman Ben S. Bernanke, followed a review that found Washington-based Fannie and McLean, Virginia-based Freddie used accounting methods that inflated their capital, according to people with knowledge of the decision.

Morgan Stanley, hired by the Treasury to probe the companies' finances, concluded the accounting, while legal, enabled Freddie, and to a lesser extent Fannie, to overstate the value of their reserves, according to the people who declined to be identified because the findings were confidential.

 mvh spx970

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

Release Date: September 7, 2008

For immediate release

Statement by Federal Reserve Board Chairman Ben S. Bernanke:

"I strongly endorse both the decision by FHFA Director Lockhart to place Fannie Mae and Freddie Mac into conservatorship and the actions taken by Treasury Secretary Paulson to ensure the financial soundness of those two companies. These necessary steps will help to strengthen the U.S. housing market and promote stability in our financial markets. I also welcome the introduction of the Treasury's new purchase facility for mortgage-backed securities, which will provide critical support for mortgage markets in this period of unusual credit-market uncertainty.

 mvh spx970

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

3 AP-fonden hade vid årsskiftet mostsvarande 1 miljard i suordinated papers i giganterna.

men Hessius bedömer det som riskfritt 

Momentum

Bend Over, Here It Comes (Fraudie/Phoney)

Logically, a serious selloff in financials is what we should get. Here's why: 

...

I think there's a very good chance that the reaction will be extraordinarily violent, but which direction remains open to question - for a few more hours anyway

mvh spx970

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

Glöm inte vad bernanake sa inte för länge sen...

Fannie And Freddie Are Fine, Bernanke Says 

mvh spx970

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

Shares of Fannie Mae and Freddie Mac will likely drop sharply when they resume trading after the U.S. government took control of the beleaguered mortgage giants, but the financial sector could now begin to stabilize, Wall Street analysts said Sunday.

"This is a historic event," said Brian Gardner, senior vice president at Washington Research. "It could be the biggest potential government bailout of a generation, much bigger than the savings and loan crises of the 1980s."
But he said it was still too soon to assign an overall price tag.

"It's very early in the game," Gardner said. "If the housing market stabilizes, the costs to the government will be on the lower side. If the trends continue with growing credit losses, and no stabilization, then you'll see a higher cost to the taxpayers."

mvh spx970 

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

U.S. Takeover of Fannie, Freddie Offers `Stopgap' for Mortgages

``This is not a permanent solution -- they've not saved Fannie and Freddie, what they've done is they've bought 15 months,'' said Bill Ackman, founder of Pershing Square Capital Management in New York, which has sold short the two companies, or bet on declines in their securities. ``It's a band aid. They haven't permanently recapitalized the companies.''  

mvh spx970

" Investors should remember that excitement and expenses are their enemies. And if they insist on trying to time their participation in equities, they should try to be fearful when others are greedy and greedy when others are fearful." Warren Buffet

Freddie Mac tipsar !

Avoiding Mortgage Fraud

Kolla vilka fin fina tips dem ger på sin hemsida:

Fraud for property, also known as fraud for housing, generally occurs when a borrower wants to purchase a property they know they cannot afford.

Vad har dem gjort själva ?

vidare:

If you are facing financial difficulties that are making it difficult to pay your mortgage, or if you feel you might be falling prey to a fraudulent scheme, the best solution is to talk to your lender or a reputable counselor.

SJÄLVA PRATAR DEM MED FED
Dom lever inte som dom lär !

God save america 
 

#52

 SJÄLVA PRATAR DEM MED FED
Dom lever inte som dom lär !

Var det verkligen FED de pratade med?

Mvh lillbuffan