bryanmcnee
Moderator
Registered: 07/31/08
Posts: 15
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Reply with quote | #1 |
Submit your questions here about why an economic report or market event caused a pricing change. Or just ask a general question about how we look at economics. |
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Visor1 Registered: 08/22/08
Posts: 1
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Reply with quote | #2 |
What pressure does the bond markets see from what Fannie and Freddie is going through in the stock market __________________ Visor1 |
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bryanmcnee
Moderator
Registered: 07/31/08
Posts: 15
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Reply with quote | #3 |
Great question and on the minds of many right now. International investors were choosing to purchase US Treasuries instead of MBSs because the Treasuries were more secure even though the yields are better with MBSs. With the govt. stepping in and providing support to Fannie and Freddie it will make the MBSs seem more secure, but the companies will be ruined financially because their stock will be worth nothing. It will be very interesting to see how this plays out. A lot will have to do with just exactly HOW the Treasury and FED intercede which is still unknown. |
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