But they're well-capitalised

[solarbird]

Oh look, the Fed granted authority to for the NY Fed to lend to Fannie Mae and Freddie Mac "should such lending prove necessary." Also, the Treasury Secretary is asking Congress for "authority to buy unlimited stakes in and lend to the companies." Apparently "Freddie Mac is scheduled to sell $3 billion in short-term notes tomorrow, and Paulson's comments indicate a concern about a collapse in private investors' willingness to fund the firms."

Comments

[wrog]

Freddie Mac is scheduled to sell $3 billion in short-term notes tomorrow, and Paulson's comments indicate a concern about a collapse in private investors' willingness to fund the firms

should be interesting to see what interest rate they actually get.

On the one hand I'm like, "woo 10% yield, and the feds are gonna back it, count me in."

But then I realize these would be dollar-denominated bonds rather than something real like euro-denominated, and then it's, "umm, never mind. kthnxbye."

[solarbird]

S'funny how completely "well" or "adequately" capitalised is the new "well-contained."

Well, you know, funny OH FUCK, as opposed to funny ha-ha.

[silussa.livejournal.com]

There are certain things that it's a bad idea to do.

If there's a rumor that you're undercapitalized, don't come out with a statement that you aren't; people just get more nervous because, if you aren't, why did you make the statement?

If you're the head of the FED or some other official, don't make statements lending veracity to the rumors. Or deny plans to deal with same.

To a large extent, the FED created the mess of concern over Freddie and Fannie. In the long term, I don't see where there should be major concern about them. But can most people afford a long term view?

[rmd.livejournal.com]

WELFARE QUEENS!

[solarbird]

hee hee hee hee HEE Hee hee what is that icon?!

[solarbird]

There are certain things that it's a bad idea to do.
OH CHRIST YES

AND YET

MY confidence is MAXIMISED!

[rmd.livejournal.com]

i got it from faildogs.com.
http://faildogs.com/post/40319947/octopus-dog

[solarbird]

poor puppy!

[silussa.livejournal.com]

Glad yours is. *wry grin*

Although I must say, it's a good time to buy their securities; they've probably tanked nicely this week. And I mean the bonds, NOT the stock. (although that might well be a good buy at this point, too, depending on what you think the DC idiots might do next)