SCIWire

Euro ABS/MBS rising

Thursday 2 February 2017 09:32 London/ 04.32 New York/ 17.32 Tokyo

Volumes and pricing levels are rising in the European ABS/MBS secondary market this week.

"In the first few weeks of the year there was very little client selling, but that's changing and it's been getting busier this week," says one trader. "We saw some Italian auctions Monday and Tuesday, Spanish yesterday and it's primarily Spanish and Portuguese today."

Nevertheless, the trader adds: "Tone remains resilient with bonds trading off the lists this week in line with or slightly above market. Everyone is still looking for paper and the Street appears light, so for now any selling will likely continue to be easily digested."

There are currently four BWICs on the European ABS/MBS schedule for today. The largest is a Spanish and Portuguese mix due at 14:30 London time.

The €278.4m nine line list comprises: BBVAR 2007-1 A2, BFTH 6 B, BVA 1 B, DOURM 3 A, TDA 20 A1, TDAC 3 A, TDAC 5 A, TDAC 8 A and TDCAM 4 A2. Two of the bonds have covered on PriceABS in the past three months - TDA 20 A1 at 98.401 on 19 December and TDCAM 4 A2 at 99.72 on 21 December.

In addition, there is a 30 line Spanish OWIC due by 11:00 today. It involves up to €50m each of: AYTCH II A, AYTGH VIII A2, BCJAF 8 A, BCJAF 9 A2, BCJAM 2 A, BFTH 10 A2, BFTH 11 A2, BFTH 13 A2, BFTH 6 A, BVA 2 A, BVA 3 A2, CLAB 2006-1 A, COMP 2012-3 A, COMP 2016-1 A, HIPO HIPO-6 A, KUTXH 1 A, KUTXH 2 A, PENED 1 A, PRADO 1 A, PRADO 3 A, RHIPG I A, RHIPO 6 A, RHIPO 7 A1, RHIPO 8 A2A, RHIPO 9 A2, SHIPO 2 A, TDA 29 A2, TDAC 4 A, TDAI 2 A and TDAI 3 A.

02/02/2017 09:32:46