Today will be viewed as an epic turning point in our struggle to regain control of what is rightfully ours. Let’s all take a moment and bask in this victory, and what a gigantic victory this is! Back in March when Senators Johnson and Crapo made the announcement that their bill had the support of 12 out of 22 members on their committee the value of Fannie and Freddie was cut in half in one week. Many investors fled fearing the worst. Many more investors stayed away for fear that we could be wound down. For those lacking an in-depth understanding of what was transpiring their fears, were well founded. Tonight that fear has been lifted. The resounding failure of Johnson and Crapo is monumental. Eight and one half weeks after their announcement it is confirmed tonight that they were unable to get even one more democrat on their side.
As I shared week ago I knew, the decision was made to pass the bill regardless of further support, and I shared this as soon as I received the word. Although I knew they were never even close to the 15-16 votes they needed to get a full senate vote, I am thrilled at tonights result. The Johnson/ Crapo bill was their last chance to wind down Fannie and Freddie; this is not just my opinion, but the opinion of every competent analyst knowledgable about Fannie and Freddie. The only option now is to reform and release Fannie and Freddie. There are a lot of bruised egos in DC tonight as well as broken alliances so I would not expect the talk of release to begin immediately but in the weeks ahead this will be inevitable.
On May 5th, I wrote, “Time is short- “We are at an interesting crossroad, the next few weeks will likely be the last chance to buy at these levels.” I hope many smaller investors have held through these turbulent times. I have done and will continue to do all I can to give everyone access to what is generally reserved for the very big players. I have a more rational post almost completed regarding yesterday’s status conference as well as some thoughts on today earnings, I decided to post only on our victory tonight as not to dilute from its importance.
Carry on my friends, enjoy our moment of victory, we deserve it! But with this said, there is still much work to be done we have one the battle but tomorrow its back to the war! Fight on! And always Keep the faith!