SCIWire

Euro secondary trundles on

Thursday 16 March 2017 09:04 London/ 04.04 New York/ 17.04 Tokyo

The European securitisation secondary market trundles on seemingly unaffected by the ups and downs of broader markets this week.

Market tone remains strong across the board, as demand easily outstrips limited supply. Consequently, secondary spreads continue to be flat to slightly tighter as each day passes.

BWICs are still sporadic and are trading at or above talk as and when they do appear. At the same time, dealer offers continue to edge upwards for stronger paper, which is further hampering flows.

There are currently two BWICs on the European schedule for today. Both involve euro- and sterling-denominated UK non-conforming RMBS.

At 14:00 London time there is a five line 18.251m list comprising: ESAIL 2006-2X D1C, ESAIL 2006-3X C1A, ESAIL 2006-4X C1C, ESAIL 2007-1X C1A and PRS 2005-2X D1C. Then, at 15:30 there is a four line 22.828m auction that originally contained another £5.3m slice of PRS 2005-2X D1C, which traded ahead, and now consists of: EHMU 2007-1 B1, EHMU 2007-2 B1, ESAIL 2006-1X E and ESAIL 2007-1X D1A.

None of the bonds has covered on PriceABS in the past three months.

16/03/2017 09:04:31