Indymac (IMB 5.43) rocketed almost three points today before settling back. Takeover rumors, and the temporary lifting of the conforming limits for loans from Freddie and Fannie Mae to $729,750 until the end of the year spurred the buying.
IndyMac can refinance the negative amortization loans, and then sell them to Fannie and Freddie Mac. They got thrown a lifeline!
The stock can trade to double digits!