Reuters - A federal judge has dismissed a lawsuit accusing the now-bankrupt mortgage lender IndyMac Bancorp Inc of inflating the appraised values of homes and misleading borrowers into paying higher closing and financing costs.

Reuters - Stocks of Fannie Mae and Freddie Mac, the largest U.S. housing finance companies, rallied for a third straight day on Wednesday as investors grew more confident their shareholdings would not be wiped out by any government intervention.

Reuters - The U.S. government should eliminate the hybrid structure of mortgage giants Fannie Mae and Freddie Mac and fully back them with taxpayer funds, New Jersey Gov. Jon Corzine said on Tuesday on the sidelines of the Democratic National Convention.

Reuters - Fannie Mae and Freddie Mac , the two biggest U.S. mortgage finance giants, have enough capital to absorb probable losses through the end of the year, reducing the need for emergency government support, according to Citigroup equity research.

Reuters - U.S. mortgage finance company Freddie Mac easily sold $2 billion of short-term debt on Monday, helping to reassure investors that both Freddie Mac and Fannie Mae can fund operations without a government bailout.

AP - Shares of Fannie Mae and Freddie Mac soared Monday in a respite from their battering in recent days, while some regional banks saw their stocks sink on worries they could be swept up in the turmoil surrounding the mortgage finance giants.

Reuters - Ailing mortgage finance company Freddie Mac easily sold $2 billion of short-term debt on Monday, reassuring investors that it and rival Fannie Mae can fund operations without a government takeover.