HiFX: Foreign Exchange Specialists

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May 6, 2008

Today’s release of Fannie Mae latest earnings report indicates that the worst of the housing-led economic slowdown within the U.S. may not be over.  Fannie Mae reported a larger than expected $2.19 billion loss for the first quarter of 2008, marking the third straight quarterly loss.  This prompted a slash in their dividend payments and issuance of common and preferred stock in an attempt to raise 6 billion of fresh funds.  Following the disappointing earnings report the U.S. dollar fell 0.8% on a trade weighted index.