Bloomberg today confirms our prior report: hedge funds and other speculative investors (our view, not theirs) are pushing Treasury to sell its preferred stock in the GSEs and, not stymied by pending Senate legislation, are trying to persuade Congress to recant so Fannie and Freddie can undertake what we’ve been calling “self-privatization.” Here, we update clients on the odds for this way out of the conservatorship.

The full report is available to subscription clients. To find out how you can sign up for the service, click here