The new issue ABS market remained virtually stagnant for yet another week, signaling that general economic conditions are only going to deteriorate further in weeks to come.

Adding further pressure is the flood of bid lists that have been hitting the secondary market as firms' balance sheets continue to be pressured and as hedge funds face rising redemptions. All this has only forced spreads out even further, according to traders.

Subscribe Now

Access to a full range of industry content, analysis and expert commentary.

30-Day Free Trial

No credit card required. Access coverage of the securitization marketplace, including breaking news updated throughout the day.