Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Pastimes : Clown-Free Zone... sorry, no clowns allowed -- Ignore unavailable to you. Want to Upgrade?

To: Real Man who wrote (373215)	8/22/2008 8:40:21 PM
From: NucTrader	Read Replies (1) \| Respond to of 436258

The article specifically referenced $233 million of BONDS due by the end of the quarter (6 weeks). 87% are short term discount notes (3 month, 6 month bills sold at a discount over time comparable Treasuries). Apparently the auctions are done weekly, so they gotta sell a lot of billions in debt every week for the next 6 weeks or else be in default on the notes. In yesterday's WSJ one of the front page articles on MONEY & INVESTING page read: "Fate of Fannie and Freddie Hinges on $225 Billion." This is the amount that Fannie and Freddie need to refinance - "Because investors have little idea how Treasury would intervene, they have become less enthusiastic about adding Fannie or Freddie debt to their portfolios, creating a potentially self-fulfilling spiral."