Michael,
on 10/3 the Chairman of the St. Louis Fed made a speech in which he
essentially said the following:
30% of US financial assets are in mortgages
The two parastatals have about 50% of the market
They are SERIOUSLY undercapitalised
also it is not clear whether the Tresury will bail them out
which means that we are (again) in a situation of moral hazard
and we could face the repeat of the S&L debacle.
This may be the consequence...
In any case, whatch those two. If they go, we go. Your swimsuit is under
your seat.
aldo

Aldo Matteucci
61, Ludlam Cr.
LOWER HUTT 6009
NEW Zealand
[EMAIL PROTECTED] (preferred)
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