FHLBank members continued to reduce their borrowings, from $806.94 billion in the first quarter to just $422.64 billion in the last three months of the year. (Includes two data charts.)

KBW analysts believe it will take 15 years for the two government-sponsored enterprises to meet FHFA’s capital requirement to exit conservatorship. KBW reduced its target price on Fannie and Freddie stocks to $1.00 each.

Sen. Pat Toomey, R-PA, the ranking member of the Senate Banking Committee, this week indicated the GOP may be ready to compromise on key issues related to GSE reform.

The CSS board now has four GSE-appointed members and five independents. Fannie and Freddie warned that this new majority will have the final say on any matter during conservatorship and on a number of significant matters following conservatorship (if they ever exit).

Freddie Mac appoints board member Mark Grier to serve as interim CEO while it continues to search for a permanent replacement for David Brickman, who left in early January.

The GSEs’ regulator heard testimony on the risk climate change poses to Fannie, Freddie and the broader housing market.

Critics argue the GSEs’ resolution plans must acknowledge the PSPAs and the government’s contractual obligation to support.

GOP staffers on the Senate Banking Committee said remarks Tuesday by Sen. Pat Toomey, R-PA, were a sign he was willing to compromise on an explicit government guarantee of agency MBS.

Have the capital rule and the pandemic sent Fannie Mae and Freddie Mac executives scrambling for new digs?