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NEW YORK -- Stocks headed for a mixed open Friday after mortgage finance company Fannie Mae posted a second-quarter loss that was more than triple what Wall Street expected and warned it would slash its dividend by about 85 percent. Stock futures had been higher before Fannie's earnings release. The news from the largest U.S. buyer and backer of home loans touched off fresh concerns about the housing sector and the overall economy, but, given the fact that futures prices did not fall sharply, was likely not a surprise after a credit crisis that is now a year old. Fannie Mae reported a loss of $2.3 billion, or $2.54 a share. Analysts surveyed by Thomson Financial had expected the company to report a loss of 68 cents a share. The company also said it would cut its quarterly dividend to 5 cents from 35 cents. Fannie shares lost... [read full story]
