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Pastimes : Clown-Free Zone... sorry, no clowns allowed

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To: Terry Whitman who wrote (87285)3/29/2001 9:45:41 AM
From: Joan Osland Graffius  Read Replies (2) of 436258
 
Hi Terry, Re: FRE and FNM.

The stocks are expensive, and continue to get bid up. You could be right and they will not trade at a fair value anytime soon. I do not think we need a major depression for these guys to trade lower at a fair value. I do expect real estate to deflate with this downturn, but I am not betting the farm on a 1930's type of environment in the future either. I do think we will see a fair amount of defaults that will come from this economic downturn because I believe debt is going to be a problem with homeowners during the 2001 to 2003 time frame.

BWDIK

Joan
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