Fannie Mae and Freddie Mac in deep trouble – may need bailout

It’s not that easy to raise capital these days thanks to the disastrous economic policies of the GOP. The only thing that is shocking at this point is that people so central to the current problems dismiss critics as “whiners” and still can’t admit that they ushered in this new era. Even more shocking is that McCain is relying on one such person to be his economic brain. With more rumors about Lehman floating around today, it’s hard to say where the government bailout will go next, though Fannie Mae and Freddie Mac appear to be next in line. How many Americans are going to be interested in more war spending after the next bailout?

Fannie Mae and Freddie Mac, the mortgage lenders at the heart of the nation’s housing finances, fell to their lowest share prices in 17 years on Thursday on concern that the companies could face the possibility of a government bailout.

Provocative comments from a prominent central banker — who labeled the firms “technically insolvent” — and a harsh report about Freddie Mac from analysts at UBS led to a rapid sell-off of the companies’ shares.

An American in Paris, France. BA in History & Political Science from Ohio State. Provided consulting services to US software startups, launching new business overseas that have both IPO’d and sold to well-known global software companies. Currently launching a new cloud-based startup. Full bio here.

Share This Post

© 2021 AMERICAblog Media, LLC. All rights reserved. · Entries RSS