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Fannie Mae (FNM) Daily Short Sale Trading Volume Through 11-30-09. Over 1.04 Billion Shares Shorted in Past 4 Months.


Published on 2009-11-30 17:48:50, Last Modified on 2010-12-22 17:34:29 - WOPRAI
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December 1, 2009 / M2 PRESSWIRE / BUYINS.NET, www.buyins.net, a leading provider of Regulation SHO compliance monitoring, short sale trading statistics and market integrity surveillance, has reviewed the NYSE, NASDAQ, BX, CHX and NSX Daily Short Volume Report through Monday, November 30, 2009 and come to the following statistical conclusions. The chart below shows aggregated daily short volume in Fannie Mae (NYSE: FNM) for August through November 30th, 2009. Over 1.04 billion shares have been shorted since August 3, 2009. FNM has dropped from $2.12 to $0.88 since August 28, 2009. There has been a $1.37 billion drop in market cap in the past 5 weeks ($1.24 decline on 1.11 billion shares outstanding). FNM management and shareholders should contact tom@buyins.net immediately to discuss solutions to the short selling problem in its shares. For access to real-time, daily and monthly short sale trading statistics along with technologies designed to protect your investments from abusive, manipulative or illegal trading, go to http://www.buyins.net .

Date Short Volume Total Volume Percent

11/30/2009 1,497,081 32,281,556 4.64%

11/27/2009 629,150 15,467,000 4.07%

11/25/2009 936,919 19,833,200 4.72%

11/24/2009 3,116,945 29,209,200 10.67%

11/23/2009 510,143 11,262,600 4.53%

11/20/2009 335,719 7,462,000 4.50%

11/19/2009 830,390 13,421,300 6.19%

11/18/2009 2,168,863 37,500,600 5.78%

11/17/2009 220,782 8,128,700 2.72%

11/16/2009 917,330 20,160,000 4.55%

11/13/2009 3,950,637 25,938,800 15.23%

11/12/2009 2,160,339 29,317,400 7.37%

11/11/2009 654,154 19,217,300 3.40%

11/10/2009 1,850,425 21,328,400 8.68%

11/9/2009 2,198,278 27,523,700 7.99%

11/6/2009 4,033,884 50,974,900 7.91%

11/5/2009 2,696,567 28,772,800 9.37%

11/4/2009 3,735,178 48,915,400 7.64%

11/3/2009 4,866,250 44,346,200 10.97%

11/2/2009 2,389,550 31,719,300 7.53%

10/30/2009 2,823,286 32,563,000 8.67%

10/29/2009 4,984,316 53,016,800 9.40%

10/28/2009 2,672,007 38,900,000 6.87%

10/27/2009 2,092,369 28,746,300 7.28%

10/26/2009 4,729,621 51,668,200 9.15%

10/23/2009 4,139,202 35,848,200 11.55%

10/22/2009 5,344,498 52,737,400 10.13%

10/21/2009 12,239,241 103,754,500 11.80%

10/20/2009 14,446,975 165,152,300 8.75%

10/19/2009 16,548,621 220,705,300 7.50%

10/16/2009 947,025 17,614,200 5.38%

10/15/2009 6,314,665 67,189,500 9.40%

Total 1,044,798,977 9,563,672,956 10.92%

* Daily Short Volume chart has been truncated for viewing purposes. Totals include short volumes starting August 3, 2009 and through yesterdays close.

Click here to view chart:

In late October 2008 the SEC updated Regulation SHO requiring that all short sellers must locate, borrow and deliver any shares they have shorted, no exceptions, by T+3 settlement date. If not, a buy-in must be forced by the broker dealer that the short seller transacted through by the opening of the market on T+4. Since a company first appears on the naked short list when short sellers have been failing to deliver for 5 consecutive trading days, stocks should theoretically never be on the naked short list again. BUYINS.NET will monitor the exchanges naked short lists daily and issue an alert and notify the SEC and FINRA should short sellers fail to deliver on any short sales.

Reg SHO Rule 204 (i) requires brokers to deliver shares on long and short sales of publicly traded equity securities by settlement date, (ii) continues to require brokers to close-out fails to deliver by the beginning of trading on T+4 for short sales and T+6 for long sales, (iii) precludes clearing brokers and their introducing brokers from selling short a security, other than on a pre-borrowed basis, if a fail to deliver in that security is not timely closed out until the fail is closed out and that close-out transaction settles, (iv) allows clearing brokers to allocate fails to introducing brokers and (v) continues to permit brokers to rely upon pre-fail credit to satisfy Rule 204's close-out requirement to avoid the pre-borrow requirements when a fail at a clearing broker has not been closed out. However, the SEC liberalized certain of these provisions in several regards. For example, permanent Rule 204 now allows a broker to close-out a fail on a long sale by borrowing the security, whereas Rule 204T had only permitted closing out long fails by buying-in, which should alleviate some of the buy-in risk for investors that experience long fails. Similar relief was extended to close-outs for market maker fails, so that a fail from a bona fide market making transaction (including short and long fails) can now be closed out by the beginning of trading on T+6 by borrowing the security. Further, Rule 204 now permits a broker to borrow securities to obtain pre-fail credit for early close-outs, whereas temporary Rule 204T only permitted pre-fail credit to be obtained by purchases of securities.

The SEC refused requests to extend the close-out deadline for fails to deliver to the close of business on the close-out deadline, choosing instead to retain the requirement that all fails be closed out by the beginning of trading on the applicable close-out deadline. The Commission also rejected requests for a fail to deliver exception that would have provided an exception from the close-out requirements if a clearing broker's fail position was below a certain amount but said that it would continue to monitor whether a de minimis or odd lot exception could be warranted.

Fannie Mae (NYSE: FNM), a government-sponsored enterprise, provides liquidity and stability support in the secondary mortgage market in the United States. It securitizes mortgage loans originated by lenders in the primary mortgage market into mortgage-backed securities, which are bought and sold in the secondary mortgage market. The company operates in three segments: Single-Family Credit Guaranty, Housing and Community Development, and Capital Markets. The Single-Family Credit Guaranty segment securitizes single-family mortgage loans into Fannie Mae mortgage-backed securities (MBS) and facilitates the purchase of single-family mortgage loans for the companya�s mortgage portfolio. The Housing and Community Development segment securitizes multifamily mortgage loans into Fannie Mae MBS and facilitates the purchase of multifamily mortgage loans for the companya�s mortgage portfolio. This segment also invests in rental and for-sale housing projects. The Capital Markets segment manages the companya�s investment activity in mortgage loans, mortgage-related securities, debt financing activity, and liquidity and capital positions. The companya�s customers include mortgage banking companies, savings and loan associations, savings banks, commercial banks, credit unions, community banks, insurance companies, and state and local housing finance agencies. Fannie Mae was founded in 1938 and is based in Washington, the District of Columbia.

BUYINS.NET, www.buyins.net, monitors trading in all US stocks in real time and maintains massive databases of short sale and naked short sale time and sales data, short squeeze SqueezeTrigger prices, market maker price movements, shareholder data, statistical data on earnings, sector correlation, seasonality, hedge fund trading strategies, comparable valuations. Reports include:

REGULATORY & COMPLIANCE NEWS

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WWW.BUYINS.NET is a service designed to help bonafide shareholders of publicly traded US companies fight naked short selling. Naked short selling is the illegal act of short selling a stock when no affirmative determination has been made to locate shares of the stock to hypothecate in connection with the short sale. Buyins.net has built a proprietary database that uses Threshold list feeds from NASDAQ, AMEX and NYSE to generate detailed and useful information to combat the naked short selling problem. For the first time, actual trade by trade data is available to the public that shows the attempted size, actual size, price and average value of short sales in stocks that have been shorted and naked shorted. This information is valuable in determining the precise point at which short sellers go out-of-the-money and start losing on their short and naked short trades.

BUYINS.NET has built a massive database that collects, analyzes and publishes a proprietary SqueezeTrigger for each stock that has been shorted. The SqueezeTrigger database of nearly 2,750,000,000 short sale transactions goes back to January 1, 2005 and calculates the exact price at which the Total Short Interest is short in each stock. This data was never before available prior to January 1, 2005 because the Self Regulatory Organizations (primary exchanges) guarded it aggressively. After the SEC passed Regulation SHO, exchanges were forced to allow data processors like Buyins.net to access the data.

The SqueezeTrigger database collects individual short trade data on over 7,000 NYSE, AMEX and NASDAQ stocks and general short trade data on nearly 8,000 OTCBB and PINKSHEET stocks. Each month the database grows by approximately 50,000,000 short sale transactions and provides investors with the knowledge necessary to time when to buy and sell stocks with outstanding short positions. By tracking the size and price of each months short transactions, BUYINS.NET provides institutions, traders, analysts, journalists and individual investors the exact price point where short sellers start losing money and a short squeeze can begin.

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