Remittance reports for the March distribution date or the February collection period reflected a turnaround in default trends, Barclays Capital analysts said. The gain was around 1 CDR, which follows a steady decline over the past few months.

Barclays analysts said that the CDR rise came along with lower delinquencies overall. Defaults rates, analysts said, rose in three out of the four ABX indices. This happened even as 60+ delinquencies dropped and as servicers are still converting HAMP trials into permanent modifications and are moving loans from deep delinquency into current status, analysts stated.

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