Friday, November 6, 2009

Re: Fannie Mae: Inquiring Minds Would Like Know...

We know, more or less, how much money was taken from the Taxpayers and given to Goldman and other firms in order to monetize AIG's derivatives problems at 100 cents on the dollar.  And Geithner was responsible for that payout and why should he care - he skips out on paying taxes anyway. 

But most people are probably unaware that Fannie Mae was also one of the world's largest users of derivatives. I would love to know how much of the $60 billion Fannie Mae has purloined from the Taxpayers has gone to pay out Goldman, et al. There is no doubt in my mind that derivatives were more responsible for FNM's collapse than mortgage defaults. Would love to hear anyone's thoughts on this.


  1. Dave,
    FNm defaults were pretty bad, but yes, I would have to think all thier hedging via derivitives blew up badly as well. Maybe 5 years from now we might now, less if a collapse happens.

    From last thread:
    The Steelers make about 2-3 big mistakes per game, if you burn them on those you have a chance. So I think turnovers will be the difference. I like the Steelers to win, but in no way is it a lock.

  2. The collapse happened over 4 years ago when they thew Franklin Raines out as CEO. I have no idea why he has not been investigated. That fucker should be in jail. I was at a wedding back in late '04 that he also attended. It took all of my spiritual fitness to not go over and beat the living shit out of him. He's beyond vile.

    I did a big write-up on FNM and showed why it was technically insolvent in late '04 that Midas published. I lost the file after several computer blow ups, but if I ever track it down I'll publish it on the blog. Robert Chapman cut and paste my write-up from Midas and published it in his International Forecaster newsletter as well.

  3. re: Broncos/Steelers. I LOVE Denver getting 3 points at home. I would not be surprised to see Denver come out and take control of the game early, the way Baltimore did to Denver.

    Steelers are somewhat one-dimensional with the pass and I would McDaniels puts together a nice offensive gameplan with plenty of creative surprises. Steelers will be missing some defensive players as well.