Posted on 09/08/2008 6:31:10 AM PDT by central_va
US stock futures point to huge rally following government bailout of Fannie Mae, Freddie Mac
U.S. stock futures pointed to a huge rally Monday as investors rushed to lay bets on a broad economic recovery following the weekend announcement that the U.S. government plans to bail out mortgage lenders Fannie Mae and Freddie Mac. Stock futures jumped more than 2 percent.
(Excerpt) Read more at biz.yahoo.com ...
+330 in 5 minutes!!!!
I think this is the psychological effect I was talking about in another thread.
Irrational exuberance.
Who was in on the deal?
I get to own my neighbors mortgage. Joy.
This move by Paulson doesn’t change the fundamentals in any
way, he just slowed the decline for a few days. It’s going
to get ugly.
I have been shorting the entire stock market, all investments are cash now. I am questioning my decision. Am I nuts?
FNM & FRE off more than 70%.
(No surprise, really).
Oh goody! Now the gubmint can decide who deserves a home loan and who doesn’t without having to go through the middlemen.
Timing the FN/FM bailout announcement on a Sunday, so as to tweak the Asian markets opening, is exactly the kind of thing you expect when a Big Con is getting underway.
Am I nuts?
Not at all. This is just a smoke screen. The entire bailout
is predicated on the market recovering and there’s not a
chance of that happening until all the toxic paper is gone.
The gains will all be gone by week’s end
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