MBS- FNMA 4.5 price: 100-09

10-yr Treasury Yield: 3.76%

As Financial Crisis Inquiry Commission Chairman Phil Angelides says, “It sounds to me a little bit like selling a car with faulty brakes and then buying an insurance policy on the buyer of those cars.”  Yep. 

WASHINGTON — Goldman Sachs’ chief acknowledged Wednesday that the investment bank engaged in “improper” behavior in 2006 and 2007 when it made huge bets on a housing downturn while peddling as safe more than $40 billion in securities backed by risky U.S. home loans.  Link to article…