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Create Free AccountShares of Fannie Mae (FNMA) and Freddie Mac (FMCC) recorded their largest daily gains in a decade, surging 40% following comments from billionaire Bill Ackman. Despite the massive rally, there is still no official decision regarding the privatization of the companies or the termination of the federal conservatorship that has been in place since 2008. Investors are now closely monitoring the Trump administration for signals concerning a potential new share offering or a definitive exit from government control. This momentum has also impacted the iShares MBS ETF (MBB), highlighting increased interest in mortgage-backed securities. Both entities continue to serve as critical stabilizers for the US housing market by managing mortgage rate volatility through bond purchases. Market analysts suggest the rally underscores the high sensitivity of these stocks to political developments and investor anticipation of structural changes.