Winding Down Fannie Mae and Freddie Mac
March 13, 2014
Senate and White House Officials Plan to Wind Down Fannie Mae and Freddie Mac
On the Hill
- Earlier in the week, top members in the Senate and the White House agreed on a framework to wind down Fannie Mae and Freddie Mac and overhaul the nation’s $10 trillion mortgage market. The plan calls for replacing the mortgage giants with a new system of federally insured mortgage securities in which private insurers would be required to take initial losses before any government guarantee would be triggered.
- Today’s new initial jobless claims number came in lower than expected at 315,000. The four-week average is also down – 5,000 below last month’s comparison.
- Retail sales bounced back in February, up 0.3% month/month.However, January’s estimation was weaker than initially thought.
- Import and export prices jumped up in February, 0.9% and 0.6%, respectively. Most of the rise in prices was due to weather-related surges in energy prices. Year/year, import prices are down 1.1%, while export prices are down 1.3%.