Shorted SOV on fre, fnm

[Goods]

SOV has large exposure to FRE stock. Could eat their entire 4th quarter earnings.

Short @ 9.50

[Patriots Game]

Once again, nice call

[Goods]

Thanks PatriotsGame.
I may be making a mistake here but I'm holding the whole position overnight (at least). Financials were strong today and this turd stayed low.

Article from Aug 22nd: M&T Bank and Sovereign Bancorp are two of the banks most exposed to the preferred stock at Fannie Mae and Freddie Mac , according to a UBS analysis, with a $190 million exposure at M&T and a $900 million exposure at Sovereign. Wells Fargo hasn't disclosed exposure, but the brokerage estimates it at $500 million. In addition, US Bancorp , Wells Fargo and Zions are most exposed to non Fannie and Freddie preferred and hybrid securities that could be impaired.

[legion3pm]

nice call GOODS.

[Goods]

Ended up covering @ 8.95 (+0.55)