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Systemic Threats, Supervisory Shortfalls

Moody's Talks - Inside Economics

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The Federal Reserve's Tied to Market Zero Capital Ratio

The value of SFB's mortgage-backed securities is at a record low. The Federal Reserve saw this as their regulator, and I would think the Fed might know that interest rates are possibly could rise. If you did both, then there would be no capital left. And Freddie Mac actually comes from the Federal Home Loan Bank system if you go back to roots in history. It's an anachronistic holdover from the 1930s.

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