I have been waiting for the following topic to be raised somewhere in the media, perhaps it has and I missed it, but since Freddie and Fannie have been put into conservatorship by the Federal Housing Finance Agency, I think and argument can be raised that the national debt has grown substantially.  The two combined guarantee about $5 to $6 trillion in loans.  The current debt ceiling, not counting Freddie and Fannie, is $10.6 trillion.  It's probably not a big deal, since this new debt is backed, for the most part, by pretty sound assets.  There's only a small portion of the Freddie/Fannie portfolio that is problematic.   Nonetheless, the debt has grown.  I suspect that it's something that will inevitably increase the cost of borrowing for the US government.

This new law created the Federal Housing Finance Agency (FHFA); it also gave the FHFA more regulatory authority over Fannie and Freddie.  So, what I observe is the government knew what was likely to happen and got the necessary regulatory authority and entity in place to seize the two GSEs if and when that became necessary.  Given the rapidity at which the Congress moved, if was more when than if!

If WaMu were going to be seized, I'd bet that the FDIC would want to explore other options.  For example, the sale of the performing assets of the bank to some going concern(s), then the liquidation of the residue.  Looking at WaMu, I am not surprised by the rumors today of a takeover of some assets.  Carving up WaMu is probably the best thing for everyone.  If it happens, it will occur behind the scenes.

I can't wait for the made-for-TV movie!