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Financials Down 6.1% - Like the Days of the Tech Bust?

Once the financials on the rise , the short sellers pull it down sharply , we can see such on July 2 , 9 , and more obviously July 14 where the after hours trading for FNM / FRE went up 30% while the same went down immediately when the bell rang .

I am talking about all bank stocks be they classified as strong or weak .

Obviously , the short sellers have been so well fed on the expense of the banks' equity by depleting value to sending a panic to the public , that they became much stronger than the defenders working on normalizing the financial pricing .

The " good news " would no longer help to recoup the price .

Everyone seems to know that they should follow the big guy in shorting once seeing any rise eminent .

The profit is taken in the expense of the whole economy .

Fannie / Freddie ( FNM / FRE ) have been running their business successfully for years .

They are well experience and up to today's date after their stock pricing and thereby equity , being depleted by short sellers down to almost worthless , they can still stand up to state in confidence that they can do a good job on what they have been accomplishing .

There is only harm done to the public by undermining the two .

They are the best to handle the now financial crisis .

The treasury ought to set up a trust funds for the taxpayers and buy their shares in the open market in against the short sellers .

The taxpayers would get themselves a terrific investment , FNM / FRE at about or under $ 10 , vow !

The taxpayers would make a big chunk of money when their pricing go back up to over $20 at just 2 weeks ago , in June .

The two would not be diluted since no new stocks would be issued .

The short sellers would lose some money and they are fat enough to afford it .

The two would gain back their equity so that the passing of the mortgage rescue plan can be facilitated .

Once the rescue plan is in place , the housing market would make a turn to gradual stabilization .

The rest of the financials would gain back confidence from investors .

Should the short sellers carry on to cut down any rise whatsoever .

The respective bank should throw in all they have or even borrow to buy against the short sellers .

The public knowing that a rise would not foresee a huge fall , would then buy as well on a rise trend .

The government should encourage banks to buy back their own stock at this time of crisis .

Once the banks got back their equity the vicious cycle would naturally be unspiralled .

Only a concerted effort by the defenders would beat a concerted strength from the short sellers .

Hey , bankers , don't miss this golden opportunity by investing in your own bank ; well , unless you are one of the short sellers .

Make some money for yourself and help USA to recoup financially .

Would you ?