Boy, Angelo sure dumped his shares at the right time, eh? Not like he had any inside information or anything. Wonder how the SEC is getting on?
All the HP favorite dogs have now been destroyed HP'ers, on their march toward bankruptcy. Countrywide, IndyMac, First Federal, Washington Mutual, Toll Brothers, KB Home, Fannie Mae, Freddie Mac, the list goes on.
I hope some of you made some $$$ on these dogs. Their downfall was soooooooooo easy to see. Even Angelo could have told you that.
Fannie Mae (NYSE:FNM), the government-sponsored mortgage agency, fell 7.6 per cent to $37.58, its lowest level in 10 years, amid investor doubts about the way it accounts for home loan losses.
Shares in fellow mortgage giant Freddie Mac fell 7.9 per cent to $37.50 after Credit Suisse warned it might take a loss of up to $5bn on its subprime AAA portfolio. Its analysts also forecast a third-quarter loss in excess of $1bn when Freddie reports on Tuesday, and cut their price target from $68 to $45.
Other mortgage-related companies suffered large share price falls. Countrywide Financial (NYSE:CFC), was down 12.4 per cent at $10.57, while Washington Mutual (NYSE:WM) was 7.3 per cent lower at $18.49.