Why Fannie (FNMA), Freddie (FMCC) Stock Closed Higher Today

NEW YORK (TheStreet) -- Shares of Fannie Mae (FNMA) and Freddie Mac (FMCC) closed higher today after activist investor Bill Ackman proposed keeping them both. 

Fannie closed up 7.04% to $4.26, and Freddie closed up 5.03% to $4.18

"I am prepared to sitdown and make a deal with the government on Fannie and Freddie...If you look through their business, it's got better since the financial crisis as they guarantee safer loans and as the housing market got better," he said, speaking at the Ira Sohn Investment Conference.

Must Read: Warren Buffett's 10 Favorite Growth Stocks

 FNMA Chart

FNMA data by YCharts

 FMCC Chart

FMCC data by YCharts

STOCKS TO BUY: TheStreet's Stocks Under $10 has identified a handful of stocks that can potentially TRIPLE in the next 12-months.Learn more.

More from Markets

Replay: Jim Cramer on Tariffs, the Market Rally, Caterpillar and Micron

Replay: Jim Cramer on Tariffs, the Market Rally, Caterpillar and Micron

Video: When Planning for Retirement, Don't Underestimate Your Life Span

Video: When Planning for Retirement, Don't Underestimate Your Life Span

Video: Here's What May Come Next for Theranos Founder and CEO Elizabeth Holmes

Video: Here's What May Come Next for Theranos Founder and CEO Elizabeth Holmes

Charlie Gasparino Says GE Is Reportedly Looking to Slash Its Dividend Again

Charlie Gasparino Says GE Is Reportedly Looking to Slash Its Dividend Again

GE Confirms $11.1 Billion Transportation Merger With Wabtec

GE Confirms $11.1 Billion Transportation Merger With Wabtec