Fannie Mae and Freddie Mac saw their share prices fall precipitously in the wake of Freddie's third quarter loss.At the end of the day, Freddie Mac was down $10.76, or 29%, to close at $26.74. Rival Fannie Mae, which slid last week amid news reports that an accounting change could be masking further credit losses, fell by $9.33 on Tuesday, or 25%, closing at $28.25. The shares of both government-sponsored enterprises are now trading at less than half their prices as recently as mid-August and at their lowest level in more than a decade. Also Tuesday, rating agency Standard & Poor's lowered its outlook on Freddie Mac's subordinated debt and preferred stock ratings to "negative," while reaffirming its triple-A senior debt ratings.

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