Early Indicators: Wall Street Parties Hard on Bailout News
Sep 9th, 2008 | By Contrarian Profits | Category: Featured, Financial News– The government’s bailout of Fannie Mae (NYSE:FRE) and Freddie Mac (NYSE:FNM) may be bad news for American taxpayers, but Wall Street is feeling the love. The Wall Street Journal reports that US markets look set to extend the previous day’s gains on the rescue. Dow and S&P 500 futures are up.
– Fannie and Freddie shareholders, of course, are royally screwed. This from Addison Wiggan and Ian Mathias at The 5 Min. Forecast: “Sorry, but if you were crazy enough own these “businesses,” you deserve it. We give a particular pat on the back to “smartest guys in the room” like Bill Miller, Rich Pzena, David Dreman and Marty Whitman. These famous fund geniuses bought tens of millions of Fannie and Freddie shares this year on…