Fannie Mae, Freddie Mac Shares Tumble

Common shares of Fannie Mae / Federal National Mortgage Assctn Fnni Me (OTCBB:FNMA) and Freddie Mac / Federal Home Loan Mortgage Corp (OTCBB:FMCC) fell yesterday after US Senators Tim Johnson (D., S.D.) and Mike Crapo (R., Idaho) announced their proposal, based largely on the previous Corker-Warner plan, to eliminate the two government sponsored enterprises (GSE) and replace them with private companies. But the biggest investors that have been battling government policy in the courts haven’t backed down, and are gaining support within the Senate. Fannie Mae, Freddie Mac’s common shares plummet while preferred shares dip Before the full income sweep was…