Posted by Davy Bui on November 20th, 2007 in Market Commentary, Stock Research
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During Bernanke’s testimony a couple of weeks ago in Washington, Helicopter Ben suggested that Fannie and Freddie be allowed to raise the caps on loans they can accept to help alleviate pressure in the mortgage-backed securities market. This proposal elicited a violent reaction from me. If Chuck Schumer manages to get this proposal enacted, I will change my political affiliation from Democrat to Independent.

But that’s neither here nor there. Today, Freddie Mac announced record losses of $2.02B for the quarter. And the politicos running the show want to guarantee loans from these organizations?!??!!

Unbelievable.