NYTIMES REPORTING FRE AND FNM WORTHLESS http://www.nytimes.com/2008/07/11/business/11fannie.html?_r=1&hp&oref=slogin
Just in case you didn't read it the first time, Port. Seriously, I am not trying to skewer you, I am trying to save you from losing your shirt. Get the fuck out of this horrendous loser of a position. These stocks may well be going to zero. They are insolvent, long mortgages during the worst housing crisis for 75 years, massively leveraged, with no inherent edge in their business model. Without a perpetually rising housing market, they have no business. The government will most likely bail them both out, and that means a probable $0 per share for any bagholders. You have averaged in since $20. If you keep doing that, you will - as Rearden Metal likes to say - get pounded like a rented gerbil. Why don't you instead do what any good trader would when he makes a mistake? Cut your losses - the first rule of trading. Take the fucking loss.
exactly. i'm fairly sure its just the bonds that have an implicit guarantee, not the stock...its the debt that the govt/taxpayer will bail out...not the stock
How many talking heads said there was no problem with FNM and FRE, just the other day on Kudlow some guy mentioned they were ok, 2 days later and they may be bailed out by the federal government.