FNMA Stock Alert 08/13/2014 07:32:41 $FNMA
Seems to me - as a gut feeling - not what was said
that
the focus has shifted from a system for the world - to truly a system for F and F
the world may yet come to the system but it sure sounds like they (FHFA - WATT) decided to focus on F and F (for years and years??)
Conservatives and liberals on our side/Private capital can’t replace Fannie
Posted by timhoward717 in Uncategorized http://timhoward717.com/
I want also to share something that I have gathered through my many conversations’ I’ve had on vacation so far.
Fannie and Freddie have begun selling shared risk MBS for the first time.
They have barely begun, and already they have revealed that there is very little appetite in the private capital market’s to get involved.
Quite simply this has skidded into an absolute disaster.
Remember Many in DC hoped to bring in huge amounts of private capital to assume a first loss position in the mortgage market.
(after the way GSE shareholders have been treated by the GOVT is there any wonder why this is so ???)
The failure of this initial experiment has already proven that it can not work. It’s outrageous that there has been little press coverage on this. Let me be clear that many in DC have taken notice of this and realized that private capital simply can not take the place of Fannie and Freddie.
I hope to dedicate an entire post on this issue soon. The news today regarding the single security being debated was not news at all. They have been talking about this for a while, and it has little chance of being enacted. This was designed to try and distract attention from the utter failure of the shared risk MBS.
Our opposition is growing increasingly desperate. They are running out of places to hide.We have some pretty powerful forces backed into an increasingly small corner.We are winning on all fronts. Keep the Faith!
Holding tight distressed stocks when the pull back is not easy and most retail sell here in fear...I suspect Ackman and gang are not selling...no reason to fear, IMO.
FNMA FMCC will be my biggest wins in the long run, which is how the success of a stock is determined...this is not a sprint, but a Marathon...
I remember the long wait between .2 and .3 on this, and when we broke .3, rocket launched...these pullbacks are painful and normal humans sell, yet psychopathic investors like some of us, hold tight, and the strong even buy...
I see no alternative to replacing FnF...Freddie was established to eliminate a monopoly...
On top of all this USPS loses $2B, par for the course, yet our government does not mention wind down...insanity...yet, as an investor, I must believe that Ms. Justice will work this out to keep the American Dream, the 30 year low interest loan, alive.
Really I can't even believe we're in the 3s anymore thought these days were behind us......booooooooooooo
I have powder currently for about another 14-15 thousand. Like I have said before this is an opportunity you may never come across in your lifetime being over 50.
If this goes to 3.76 tomorrow I will be all in with my dry powder and I am not talking just a few sheckles. GLTY!
I am. Are you loading tomorrow AM?
Not okay. I bought some shares at 3.91 and wasn't able to trade all day. I guess I could've called in....would've been humbug though. First time for me that I wasn't able to trade almost the whole day session...SC gonna lose some customers.
On Friday some of Fannie's rules (and updates to their DU underwriting software) are changing to match existing Freddie rules. This includes length of time someone can obtain a new loan after a short sale or loan modification. I wonder if this is another move put in place to prepare for 1 platform.
Howard points to failed mbs. Not enough private $ interest in the new shared risk mbs. This proves a) the GSEs are needed today and maybe also proves b) in a truly free market there would be no such thing as these GSEs. I'm not saying eliminate them! please keep em around!But i have mentioned on here before- the idea that the GSEs represent a guaranteed buyer of loans. There is no such thing as a guaranteed buyer for anything in a free market. This is why the GSEs provide liquidity. But just think what would happen without a guaranteed buyer.
Housing prices would, I think, eventually fall because any liquidity would have to exist via an all private market with no guaranteed buyer of loans, and risks would be higher, rates would be higher, and fewer could afford to buy homes. That would be true in any era but especially now when the economy is still just weak-to-so-so. Everyone here has been saying that stuff forever. But not many ever mention this part that goes with any world without the GSEs; When fewer people buy something, the price goes down.
Does anyone think DC wants another housing collapse? Do the banks want that? Maybe they do maybe not. But they'll get what they want, you can bet on that.
Please don't think i wanna eliminate the GSEs. I'm long here since 60-something cents!
8/7/2014 Fairholme...remember - Fannie Mae and Freddie Mac preferred stocks and common shares constitute approximately 15% of the Fund’s portfolio. We believe that the two companies may be the most important financial institutions in the United States – perhaps the world – and directly support housing affordability and accessibility, including the uniquely American 30-year fixed-rate mortgage. They are a major reason why our country did not enter a second Great Depression, and are proving to be the most successful taxpayer investments of the Great Recession.
Support/resistance charting, paying no attention to strength or momentum. Must be nice to be so simple. Hes also about two weeks late to the game. Watching the 30 min and 60 min constantly will do that to a fella.
Daily- RSI@33. Ripe to hit 30@3.76. Last two runs off RSI 30 have been nice.
Counter to that is a broken symmetrical triangle with a confirmed false rally to 4.65.
Big balls to the wall tomorrow Nitwit. Whats your take? I got a GTC buy in place at 3.76. I am laying em out in the wind to dry.
How Mel Watt can fix housing finance in the U.S.
By Eva Clayton
Special to the Observer
Posted: Wednesday, Aug. 06, 2014
The last few months in Washington have prompted a nettlesome debate about the future of housing finance reform. The conversation has floundered on finding the best policy prescription to reform Fannie Mae and Freddie Mac in a way that prevents the organizations from further burdening taxpayers, while putting in place housing policy that builds wealth for communities and families. Regrettably, this is typical Washington: trying to solve problems that don’t exist or pushing a legislative solution that addresses the wrong problem.
There is an immediate and clear path forward. It begins with ending the federal government’s conservatorship of Fannie and Freddie and thereby allowing them to rebuild and flourish in the marketplace.
Short-term reform is indeed possible through administrative action to end the conservatorship. Ending the bitter legal wrangling surrounding the conservatorship – which has hurt investors and consumers alike – would boost the capacity for Fannie and Freddie to attract investment, build capital and ultimately protect taxpayers from another bailout. The Federal Housing Finance Agency and its new director Mel Watt have the authority to lead the way and ultimately put us on a trajectory to solving the right problem.
Any reform of the housing finance market must be built around three key principles. First, it must assure accessibility and affordability of mortgages, while preserving the secondary financial markets. Being a champion of homeownership is not risky public policy – it is essential to growing wealth.
Second, reform must not destabilize the markets. Given that we have not yet experienced a full economic recovery, and that housing represents one-sixth of the U.S. economy, housing finance reform must fully support new growth by adhering to the rule of law. A strong housing market requires private capital, and private capital follows the rule of law.
Finally, housing finance reform should seek to broaden liquidity in the market and encourage more risk by the private sector, instead of placing the burden on the taxpayer. Ensuring that there is sufficient liquidity will keep the 30-year fixed-rate mortgage within reach, help expand the middle class and ensure economic stability for families and communities.
We have to get housing reform right. It affects all of us, including those having difficulties with their home mortgage. To bolster our economy and move more Americans into the middle class, Washington can no longer afford to kick the can down the road. Watt and the FHFA can propel us forward by crafting an administrative solution that solves the right problems, follows the rule of law and supports a thriving housing market.
Read more here: http://www.charlotteobserver.com/2014/08/06/5...rylink=cpy
Hey there! YOu're right---can't stand 'em!
Followed you Hit me back.
oh boy... another FNMA video chart
GTC@3.76. Ready to go.
Sucks but I think the PPS will tank further tomorrow to the 3.60s. All IMHO
6 years in conservatorship, 13 years in Afghanistan. Do we really think any of this matters to the politicians? They should all be ripped out of their seats and......., well use your imagination. Fannie and Freddie are the last of the governments bottom skimming holdings from the financial "crisis", The Sacred Last Cash Cow they have been able to hold onto. I believe the whole plan is to hold them as long as they can, steal every last bit of profit available, and when finally forced to give back to shareholders, will rake in billions of more dollars in share sales after they convert their warrants. What an elaborate and well played scheme these.....things have weaved. I hope when the dust settles, we see criminal charges.
Me
Seems to me - as a gut feeling - not what was said
that
the focus has shifted from a system for the world - to truly a system for F and F
the world may yet come to the system but it sure sounds like they (FHFA - WATT) decided to focus on F and F (for years and years??)
Conservatives and liberals on our side/Private capital can’t replace Fannie
Posted by timhoward717 in Uncategorized http://timhoward717.com/
I want also to share something that I have gathered through my many conversations’ I’ve had on vacation so far.
Fannie and Freddie have begun selling shared risk MBS for the first time.
They have barely begun, and already they have revealed that there is very little appetite in the private capital market’s to get involved.
Quite simply this has skidded into an absolute disaster.
Remember Many in DC hoped to bring in huge amounts of private capital to assume a first loss position in the mortgage market.
(after the way GSE shareholders have been treated by the GOVT is there any wonder why this is so ???)
The failure of this initial experiment has already proven that it can not work. It’s outrageous that there has been little press coverage on this. Let me be clear that many in DC have taken notice of this and realized that private capital simply can not take the place of Fannie and Freddie.
I hope to dedicate an entire post on this issue soon. The news today regarding the single security being debated was not news at all. They have been talking about this for a while, and it has little chance of being enacted. This was designed to try and distract attention from the utter failure of the shared risk MBS.
Our opposition is growing increasingly desperate. They are running out of places to hide.We have some pretty powerful forces backed into an increasingly small corner.We are winning on all fronts. Keep the Faith!
Holding tight distressed stocks when the pull back is not easy and most retail sell here in fear...I suspect Ackman and gang are not selling...no reason to fear, IMO.
FNMA FMCC will be my biggest wins in the long run, which is how the success of a stock is determined...this is not a sprint, but a Marathon...
I remember the long wait between .2 and .3 on this, and when we broke .3, rocket launched...these pullbacks are painful and normal humans sell, yet psychopathic investors like some of us, hold tight, and the strong even buy...
I see no alternative to replacing FnF...Freddie was established to eliminate a monopoly...
On top of all this USPS loses $2B, par for the course, yet our government does not mention wind down...insanity...yet, as an investor, I must believe that Ms. Justice will work this out to keep the American Dream, the 30 year low interest loan, alive.
Really I can't even believe we're in the 3s anymore thought these days were behind us......booooooooooooo
I have powder currently for about another 14-15 thousand. Like I have said before this is an opportunity you may never come across in your lifetime being over 50.
If this goes to 3.76 tomorrow I will be all in with my dry powder and I am not talking just a few sheckles. GLTY!
I am. Are you loading tomorrow AM?
Not okay. I bought some shares at 3.91 and wasn't able to trade all day. I guess I could've called in....would've been humbug though. First time for me that I wasn't able to trade almost the whole day session...SC gonna lose some customers.
On Friday some of Fannie's rules (and updates to their DU underwriting software) are changing to match existing Freddie rules. This includes length of time someone can obtain a new loan after a short sale or loan modification. I wonder if this is another move put in place to prepare for 1 platform.
Howard points to failed mbs. Not enough private $ interest in the new shared risk mbs. This proves a) the GSEs are needed today and maybe also proves b) in a truly free market there would be no such thing as these GSEs. I'm not saying eliminate them! please keep em around!But i have mentioned on here before- the idea that the GSEs represent a guaranteed buyer of loans. There is no such thing as a guaranteed buyer for anything in a free market. This is why the GSEs provide liquidity. But just think what would happen without a guaranteed buyer.
Housing prices would, I think, eventually fall because any liquidity would have to exist via an all private market with no guaranteed buyer of loans, and risks would be higher, rates would be higher, and fewer could afford to buy homes. That would be true in any era but especially now when the economy is still just weak-to-so-so. Everyone here has been saying that stuff forever. But not many ever mention this part that goes with any world without the GSEs; When fewer people buy something, the price goes down.
Does anyone think DC wants another housing collapse? Do the banks want that? Maybe they do maybe not. But they'll get what they want, you can bet on that.
Please don't think i wanna eliminate the GSEs. I'm long here since 60-something cents!
8/7/2014 Fairholme...remember - Fannie Mae and Freddie Mac preferred stocks and common shares constitute approximately 15% of the Fund’s portfolio. We believe that the two companies may be the most important financial institutions in the United States – perhaps the world – and directly support housing affordability and accessibility, including the uniquely American 30-year fixed-rate mortgage. They are a major reason why our country did not enter a second Great Depression, and are proving to be the most successful taxpayer investments of the Great Recession.
Support/resistance charting, paying no attention to strength or momentum. Must be nice to be so simple. Hes also about two weeks late to the game. Watching the 30 min and 60 min constantly will do that to a fella.
Daily- RSI@33. Ripe to hit 30@3.76. Last two runs off RSI 30 have been nice.
Counter to that is a broken symmetrical triangle with a confirmed false rally to 4.65.
Big balls to the wall tomorrow Nitwit. Whats your take? I got a GTC buy in place at 3.76. I am laying em out in the wind to dry.
How Mel Watt can fix housing finance in the U.S.
By Eva Clayton
Special to the Observer
Posted: Wednesday, Aug. 06, 2014
The last few months in Washington have prompted a nettlesome debate about the future of housing finance reform. The conversation has floundered on finding the best policy prescription to reform Fannie Mae and Freddie Mac in a way that prevents the organizations from further burdening taxpayers, while putting in place housing policy that builds wealth for communities and families. Regrettably, this is typical Washington: trying to solve problems that don’t exist or pushing a legislative solution that addresses the wrong problem.
There is an immediate and clear path forward. It begins with ending the federal government’s conservatorship of Fannie and Freddie and thereby allowing them to rebuild and flourish in the marketplace.
Short-term reform is indeed possible through administrative action to end the conservatorship. Ending the bitter legal wrangling surrounding the conservatorship – which has hurt investors and consumers alike – would boost the capacity for Fannie and Freddie to attract investment, build capital and ultimately protect taxpayers from another bailout. The Federal Housing Finance Agency and its new director Mel Watt have the authority to lead the way and ultimately put us on a trajectory to solving the right problem.
Any reform of the housing finance market must be built around three key principles. First, it must assure accessibility and affordability of mortgages, while preserving the secondary financial markets. Being a champion of homeownership is not risky public policy – it is essential to growing wealth.
Second, reform must not destabilize the markets. Given that we have not yet experienced a full economic recovery, and that housing represents one-sixth of the U.S. economy, housing finance reform must fully support new growth by adhering to the rule of law. A strong housing market requires private capital, and private capital follows the rule of law.
Finally, housing finance reform should seek to broaden liquidity in the market and encourage more risk by the private sector, instead of placing the burden on the taxpayer. Ensuring that there is sufficient liquidity will keep the 30-year fixed-rate mortgage within reach, help expand the middle class and ensure economic stability for families and communities.
We have to get housing reform right. It affects all of us, including those having difficulties with their home mortgage. To bolster our economy and move more Americans into the middle class, Washington can no longer afford to kick the can down the road. Watt and the FHFA can propel us forward by crafting an administrative solution that solves the right problems, follows the rule of law and supports a thriving housing market.
Read more here: http://www.charlotteobserver.com/2014/08/06/5...rylink=cpy
Hey there! YOu're right---can't stand 'em!
Followed you Hit me back.
oh boy... another FNMA video chart
GTC@3.76. Ready to go.
Sucks but I think the PPS will tank further tomorrow to the 3.60s. All IMHO
6 years in conservatorship, 13 years in Afghanistan. Do we really think any of this matters to the politicians? They should all be ripped out of their seats and......., well use your imagination. Fannie and Freddie are the last of the governments bottom skimming holdings from the financial "crisis", The Sacred Last Cash Cow they have been able to hold onto. I believe the whole plan is to hold them as long as they can, steal every last bit of profit available, and when finally forced to give back to shareholders, will rake in billions of more dollars in share sales after they convert their warrants. What an elaborate and well played scheme these.....things have weaved. I hope when the dust settles, we see criminal charges.
Me
