Waiting for that dollar test again. More and mor
Post# of 1629
Waiting for that dollar test again. More and more investors are starting to figure out that a wind down doesn't make sense anymore. That a wind down was the plan for Fannie not being able to pay back the bailout money. The shorts will figure this out when they put their finger in the wind. Then we welcome dollar land. No more of this 100th of a penny BS. Can't wait to permanently put that behind us.
By next week, the guys who still think wind down are going to seem like the speculative ones. We won't be the crazy dreamers anymore.
The Treasury can't use the dividend profits to subsidize the government. The Congress has no reason, in my opinion, to want to test the legal issue behind keeping them past pay back (5th amendment, boys). They probably just want to save face right now.
The bank lawsuits now coming together with a huge precedent set on Friday, and the profitability for the foreseeable future is forecast. I don't see any way around it anymore: Conservatorship days are numbered.
I don't feel like this is a widely speculative trade anymore.
Conservatorship will be history. And the PPS very well could catch up to that notion before the bail out is even paid off. The market usually thinks 6 months or so in advance. The "5 dollar" projection is way way way too small, in my opinion.
They're making more than before, and they're playing it safer. They will not have the bad debt of yester-year shifted upon them this go-around. Investors can invest with sureness and security in that fact. I believe we'll start getting dividends on our investment as well, eventually. Many people may retire just on this one stock at these levels.
Cheers, to all longs.
(reposting this from my IH post last night. No need to type it out again. Oh and HI!)