March 5, 2010 / 6:12 PM / 10 years ago

U.S. Treasury says stands behind Fannie, Freddie

WASHINGTON, March 5 (Reuters) - The Treasury Department on Friday reiterated its position that it is standing behind U.S. mortgage finance giants Fannie Mae and Freddie Mac.

“As we said in December, there should be no uncertainty about Treasury’s commitment to support Fannie Mae FNM.N and Freddie Mac FRE.N as they continue to play a vital role in the housing market during this current crisis,” the statement from the Treasury said.

The statement came in response to a question from a reporter after Rep. Barney Frank, the chairman of the House Financial Services Committee, caused a stir in the mortgage-backed securities market earlier on Friday by suggesting that Fannie Mae and Freddie Mac bondholders do not have the same guarantees as Treasury bondholders.

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below