Consumer ABS

Despite the lack of activity last week, the market for asset-backed securities is benefitting from the sense that the repricing of the market has largely run its course, according to Deutsche Bank.

While the issuance of overall auto-related ABS is running behind 2012’s year-to-date figure, the sub-prime sector is actually ahead of the same time frame last year

Santander Consumer USA broke the lull in ABS primary market issuance with plans for a $891.14 million subprime auto loan securitization.

The issuance of credit card securitizations might get a boost later this year, according to Standard & Poor’s.

the analysts at Bank of America Merrill Lynch have revised down their structured-finance issuance forecast in Europe for 2013

The widening in structured finance spreads is not yet a cause for credit concerns, according to a weekly outlook by Standard & Poor’s.

Final bank capital rules are likely positive for non-agency remics and mildly positive for some other assets, such as bonds backed by student loans, according to Barclays.

The doubling of interest rates on new government guaranteed student loans could actually benefit some holders of bonds backed by existing loans, according to Fitch Ratings.

Interest rates on Federal Direct Subsidized Loans today doubled to 6.8% from 3.4%; but the higher rates won’t have too much of an impact on securitization deals backed by these loans.

Improving liquidity in the broader financial markets failed to stem the widening in spreads on asset-backed securities last week, according to J.P. Morgan.