Fannie, Freddie and Ginnie Downgraded by S&P! What now?

[amicus]

http://www.breitbart.com/article.php?id=CNG.32c732cf1e90321ab700d5c1ff2bb1cd.271&show_article=1

http://curiouscapitalist.blogs.time...change-the-global-economy/?xid=rss-topstories

http://www.theatlantic.com/business...reddie-and-others-connected-to-the-us/243283/

Consequently, S&P has downgraded the senior debt of Fannie, Freddie, and a number of other government-related entities from AAA to AA+. Its action includes:
• Fannie, Freddie unsecured ("agency") debt
• 10 of 12 Federal Home Loan Bank debt (the other two's debt was already rated AA+)
• Farm Credit System debt
• 30 financial institutions' debt that benefits from the Federal Deposit Insurance Corporation's Temporary Liquidity Guarantee Program
• 2 corporate credit unions' debt that benefits from the FDIC's Temporary Corporate Credit Union Guarantee Program

The Federal National Mortgage Association (FNMA; OTCBB: FNMA), commonly known as Fannie Mae, was founded in 1938 during the Great Depression as part of the New Deal. It is a government-sponsored enterprise…

] in 1968 it converted to a publicly held corporation, to remove its activity and debt from the federal budget.[11] In the 1968 change, Fannie Mae's predecessor (also called Fannie Mae) was split into the current Fannie Mae and the Government National Mortgage Association ("Ginnie Mae"). Ginnie Mae,

The Federal Home Loan Mortgage Corporation (FHLMC), known as Freddie Mac (OTCBB: FMCC), is a public government sponsored enterprise…

The FHLMC was created in 1970 to expand the secondary market for mortgages in the US. Along with other GSEs, Freddie Mac buys mortgages on the secondary market, pools them, and sells them as a mortgage-backed security to investors on the open market. This secondary mortgage market increases the supply of money available for mortgage lending and increases the money available for new home purchases.

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I know there are some financial experts lurking here, perhaps someone might explain the impact of the credit downgrade on the economy of not just the US, but the world economy?

So as not to create another Thread, perhaps someone would weigh in on Euro's rush to save Italy and Spain from economic collapse when they don't have the two trillion plus Euro's to bail them out?

Amicus

 

[Shagly]

http://www.breitbart.com/article.php?id=CNG.32c732cf1e90321ab700d5c1ff2bb1cd.271&show_article=1

http://curiouscapitalist.blogs.time...change-the-global-economy/?xid=rss-topstories

http://www.theatlantic.com/business...reddie-and-others-connected-to-the-us/243283/






~~~

I know there are some financial experts lurking here, perhaps someone might explain the impact of the credit downgrade on the economy of not just the US, but the world economy?

So as not to create another Thread, perhaps someone would weigh in on Euro's rush to save Italy and Spain from economic collapse when they don't have the two trillion plus Euro's to bail them out?

Amicus

America does not know the meaning of the word "Budget"......

Let America learn it the hard way.

 

[amicus]

Sadly, that is how things are usually learned.

Well, at least, if anyone reads this Thread, you can learn what Frannie and Freddie and Ginnie really are so when you hear or read the references, you have a perspective.

The Futures Market on the Dow is showing a down trend at about minus 250 points, which indicates that tomorrow will be another down day in the Markets.

If your 401K was worth a hundred grand yesterday, it is worth much less today and perhaps even more tomorrow.

egads...

ami

 

[unregistered]

 

[amicus]

No doubt, but the general news coverage seems to slide over the downgrade of the mortgage institutions...I think the talking heads, like most here, simply don't understand the gravity of the situation and have burrowed their beans in the sand.

ami

 

[John Doe]

From AAA down to AA+. Boo-fucking-hoo.

 

[akatrex]

http://www.politifake.org/image/political/1006/barney-frank-fannie-mae-freddie-mac-graft-political-poster-1275537991.jpg

 

[NeverEndingMe]

From AAA down to AA+. Boo-fucking-hoo.

and in six months from AA+ to A-

but hey, you can enjoy more free obama juice right?

dumbass home chicken