Barely skipping a beat, origination in the ABCP market was robust last month, with several conduits substantially increasing program size. Outstandings in the market increased approximately $22 billion, or 3.3% to $691 billion, according to the Federal Reserve.
Overall commercial paper outstandings also increased approximately $9 billion, its first gain since April, which corresponds to recent demand for short-term investments. In August, the overall CP market had fallen approximately $40 billion. Asset-backeds now account for just less than 49% of the entire commercial paper market.