SCIWire

Euro ABS/MBS picks up

Thursday 20 April 2017 09:49 London/ 04.49 New York/ 17.49 Tokyo

Activity in the European ABS/MBS secondary market is picking up after the Easter break.

Yesterday saw a flurry of both bilateral trading and BWICs primarily driven by rotation activity. Secondary spreads remain firm for now given the recent paucity of supply, but the possibility of some weakening in higher beta paper is emerging.

There are currently four BWICs on the European ABS/MBS schedule for today, mainly involving Spanish bonds and UK non-conforming. The largest list is a euro-, dollar- and sterling-denominated mix due at 15:00 London time.

The 11 line 55.76m auction comprises: BBVAR 2007-2 C, BCJAF 10 C, BPMO 2007-1 C, BRNL 2007-1X D4A, CANWA II C2, EHMU 2007-1 M2, GHM 2007-2X AC, HIPO HIPO-10 C, INTS 3 C, LEEK 19X CC and TDAC 8 C. Only BCJAF 10 C has covered on PriceABS in the past three months - at 54H on 8 March.

20/04/2017 09:49:21