Mr Mortgage

Fannie and Freddie's Unbelievable Proposals

The reason why this is under serious consideration is because it is a way of moving underwater loans that will result in serious losses off the balance sheets of the banks and onto the balance sheets of the tax payer. They will never be able to securitize and well these so as they fall one by one for years the taxpayer will pick up the tab. With values down 40-70% in the bubble states where this is aimed, this will be a big tab.

The "Ben is My Friend" Trade

good disclaimers by the way.

The "Ben is My Friend" Trade

there will be no 2nd half recovery...the street has been trying to shove that down everyone's throat for 3 weeks now. In the last 24-hours the IMF and Berne confirmed the US economy is not in a trough and GDP will likely be flat to lower into 2009. And that is a best-case housing recovery, which will not happen.