Freddie and Fannie Take a Dive
Friend-of-the-site Charles Morris just wrote in to let us know that Fannie Mae and Freddie Mac’s stock took a nose dive today, dropping 17 percent and 18 percent respectively. That’s grim news for the federally funded/privately held duo that was anointed to lead the major bank bailout at the first signs of the housing crisis last summer. Charles wrote about their role in the housing crisis this morning in a piece that outlines how federal efforts to ease the pain of hte mortgage crisis are merely stop gaps. This crisis is going to get much worse before it gets better.