Fannie Mae (FNM) and Freddie Mac (FRE) are among the least popular banking institutions in the country, and it would make sense that as part of financial reform, we took on firms that had a major role in financing the housing bubble.
But that’s not going to happen.
The Senate voted down an attempt by Republicans to wind them down, and instead opted to support a study.
That’s right. The Treasury department will be tasked with looking at what can be done with Fannie and Freddie.
Lots of Democrats voted to preserve the institutions, but some Senators REALLY love the GSEs.
How do we know?
Because they’re up for re-election this year, and they still like the firms.
Business Insider Emails & Alerts
Site highlights each day to your inbox.