FRE and FNM

m22au · Jul 9, 2008

Quote from capmac:

JP Morgan will offer them $1/share.

and then change the bailout price to $5 a share when the shareholders complain that $1 is too low

dstod · Jul 10, 2008

This reminds me very much of ABK and MBI earlier in the year.

There are probably gonna be bullsh*t rumors that will drive these up from time to time, but those opportunities should prove themselves to be ripe times to short just like those bs ABK and MBI rallies. Now look at them in the low single digits.

MrDODGE · Jul 10, 2008

Fed will allow Goldman to purchase both of them for $5 per share and guarantee no risk.

Cutten · Jul 10, 2008

Another good Jim Rogers call.

m22au · Jul 10, 2008

Does anyone have any thoughts on my post from yesterday?

Quote from m22au:

At what point will congress actually do / say something about FRE (and FNM)?

For example, that FRE and FNM are being nationalised?

Will they really wait for these stocks to go to $2 a share before announcing nationalisation?

S2007S · Jul 10, 2008

More new lows, yesterday on kudlow some guy, forgot his name, said that FNM and FRE were not going under....hmmmmm

If the Fed bailed out BSC I think they will be bailing out FNM and FRE as well.

makloda · Jul 10, 2008

Maybe they will be bailed out but who says equity holders won't be wiped out? What if they do a another take-under for $2.

Ashley · Jul 10, 2008

thanks for the heads up

Trendytrader · Jul 11, 2008

They are history this weekend. Get out if you are still in as they will be a government department on Monday.

m22au · Jul 11, 2008

I think you're right Trendy, it's a bit like Bear Stearns, where shareholders find out on Monday morning that they are getting $2 a share.

Except in this situation, they might be luck to get 2 cents a share.

Quote from Trendytrader:

They are history this weekend. Get out if you are still in as they will be a government department on Monday.