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Economy: Housing / Fannie Mae and Freddie Mac #898246

ABC Evening News for Friday, Jul 11, 2008
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(Studio: Charles Gibson) The drop in the stock values of Fannie Mae and Freddie Mac introduced.

(Studio: Betsy Stark) The importance of Fannie Mae and Freddie Mac to the housing market by guaranteeing loans examined; details given of fears that the mortgage companies are at risk of failing and about the two companies' history coming out of the New Deal. [Fox-Pitt Kelton analyst Howard SHAPIRO†- comments on how bad their failiure would be.] [Senator Chris DODD - says these institutions are in fine shape.] [Bankrate.com financial analyst Greg McBRIDE†- says they are too big to fail.] The psychology of fear in the marketplace re: Fannie and Freddie discussed.

Gibson, Charles;
Stark, Betsy

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