Fix Python – clang error: unknown argument: ‘-mno-fused-madd’ (python package installation failure)

I get the following error when attempting to install psycopg2 via pip on Mavericks 10.9:
clang: error: unknown argument: ‘-mno-fused-madd’ [-Wunused-command-line-argument-hard-error-in-future]

Not sure how to proceed and have searched here and elsewhere for this particular error. Any help is much appreciated!
Here is the complete output from pip….