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	<title>Comments on: Fannie Mae calls for $6bn</title>
	<link>http://ftalphaville.ft.com/blog/2008/05/06/12817/fannie-mae-calls-for-6bn/</link>
	<description>FT Alphaville from FT.com</description>
	<copyright>Copyright The Financial Times Ltd 2006. "Alphaville", "FT" and "Financial Times" are trademarks of the Financial Times.</copyright>
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	<pubDate>Fri, 29 Aug 2008 21:49:26 +0000</pubDate>
	<lastBuildDate>Fri, 29 Aug 2008 21:49:26 +0000</lastBuildDate>
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	<language>en</language>

	<item>
		<title>by: hedgehog</title>
		<link>http://ftalphaville.ft.com/blog/2008/05/06/12817/fannie-mae-calls-for-6bn/#comment-19910</link>
		<pubDate>Tue, 06 May 2008 21:17:17 +0000</pubDate>
		<guid>http://ftalphaville.ft.com/blog/2008/05/06/12817/fannie-mae-calls-for-6bn/#comment-19910</guid>
					<description><![CDATA[anonymous
that's the way I've read it since shortly after the Bear incident - so much support has been given and is now expected that it's difficult to see what could spook these markets now although a long very slow decline could be on the cards.]]></description>
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		<title>by: Anonymous</title>
		<link>http://ftalphaville.ft.com/blog/2008/05/06/12817/fannie-mae-calls-for-6bn/#comment-19908</link>
		<pubDate>Tue, 06 May 2008 17:41:46 +0000</pubDate>
		<guid>http://ftalphaville.ft.com/blog/2008/05/06/12817/fannie-mae-calls-for-6bn/#comment-19908</guid>
					<description><![CDATA[Clearly equity investors have taken the too big to fail argument to heart here. That plus the obscene amounts of liquidity that the FED is pumping into the system make anything but a rally well nigh impossible. As far as I can see now, the only event that would give investors pause is if the FED actually allowed something to default. I think we can all guess the odds of that happening in an election year. I was more than a b bit slow on the uptake but the shape of things to come for the rest of the year appears clear.]]></description>
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		<title>by: Kamekon</title>
		<link>http://ftalphaville.ft.com/blog/2008/05/06/12817/fannie-mae-calls-for-6bn/#comment-19904</link>
		<pubDate>Tue, 06 May 2008 14:56:57 +0000</pubDate>
		<guid>http://ftalphaville.ft.com/blog/2008/05/06/12817/fannie-mae-calls-for-6bn/#comment-19904</guid>
					<description><![CDATA[The implementation of fair value accounting (to derivatives and various other instruments) has another “eye-catching” effect - in addition to the reduction of net assets (total equity) to approx. USD12bn noted above. As a result of fair value adjustments common stockholders’ equity is now NEGATIVE (a USD2bn fair value deficit; preferred is still positive at USD14bn). See the “Supplemental Non-GAAP Consolidated Fair Value Balance Sheets” on the penultimate page of the Fannie Mae news release and on p. 53 of the 10-Q.]]></description>
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		<title>by: hedgehog</title>
		<link>http://ftalphaville.ft.com/blog/2008/05/06/12817/fannie-mae-calls-for-6bn/#comment-19901</link>
		<pubDate>Tue, 06 May 2008 13:59:33 +0000</pubDate>
		<guid>http://ftalphaville.ft.com/blog/2008/05/06/12817/fannie-mae-calls-for-6bn/#comment-19901</guid>
					<description><![CDATA[It was Sept 1981 when Congress passed legislation to sell their loss making mortgages and reinvest in new more profitable loans . 

So securitization really started when the S&L's got themselves into big trouble and now that securitization has got the whole financial system in a mess the regulators continue to hand out more drugs to the addicts.

Our own market appears to take all this in it's stride - are we now immune to bad news - have we reached the bottom for equities?]]></description>
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		<title>by: burnt quant</title>
		<link>http://ftalphaville.ft.com/blog/2008/05/06/12817/fannie-mae-calls-for-6bn/#comment-19894</link>
		<pubDate>Tue, 06 May 2008 13:25:23 +0000</pubDate>
		<guid>http://ftalphaville.ft.com/blog/2008/05/06/12817/fannie-mae-calls-for-6bn/#comment-19894</guid>
					<description><![CDATA[Excellent work from the regulator - lower the capital requirements for FNM so that they can purchase loans on depreciating assets. 

The company line is that the "servere" housing weakness is a national 7-9% decline this year (and then presumably that's it?) Many sensible commentators expect double digits and/or multi-year declines.

120% mortgages, $10 bio push for FTBs and lower premiums for the new Jumbo loan class - let's party like it's 2006!]]></description>
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		<title>by: jmf</title>
		<link>http://ftalphaville.ft.com/blog/2008/05/06/12817/fannie-mae-calls-for-6bn/#comment-19888</link>
		<pubDate>Tue, 06 May 2008 12:31:26 +0000</pubDate>
		<guid>http://ftalphaville.ft.com/blog/2008/05/06/12817/fannie-mae-calls-for-6bn/#comment-19888</guid>
					<description><![CDATA[Moin from Germany,

looks like Phony Mae is getting much more firepower to buy crappy loans....

Fannie Mae's federal regulator said on Tuesday it will reduce the company's capital-surplus requirement to 15% from 20% when Fannie Mae completes a new capital-raising plan

On top of this Fannie is hinting that another 5 percentage point reduction to 10% will be in place in September 2008....]]></description>
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