Wonder what their derivative exposure is? Freddy Mac took some significant losses.
http://wallstreetonparade.com/2016/05/derivatives-losses-are-mushrooming-at-freddie-mac-now-its-the-taxpayers-problem/
Freddie Mac; Now It’s the Taxpayers’ Problem
By Pam Martens and Russ Martens: May 3, 2016
On April 21, Wall Street On Parade reported that the U.S. government (also known as the U.S. taxpayer) was on the hook for potentially tens of billions of dollars in derivative losses at Freddie Mac and Fannie Mae – the two companies the government put under conservatorship during the Wall Street financial collapse of 2008. (See related article below.)
This morning, Freddie Mac is adding further angst to this potential derivatives blowup scenario by reporting that it lost $4.56 billion in its derivatives portfolio in just the first three months of this year – a stunning 90 percent increase over what it lost in derivatives in the first quarter of 2015. That brings its derivative losses for all of 2014, 2015 and the first quarter of 2016 to $15.54 billion. (See chart below.) This is certain to bring gasps from some members of Congress.
What’s that foul smell from someone cooking the books?