Primary issuance in the ABS market chugged along last week and cleared about $9 billion in new deals by press time Thursday, continuing a push to circle transactions before the end of May. Judging by the amount of deals in the market on Thursday, some professionals expected issuance to go as high as $20 billion by the close of business on Friday.
Coming off of Memorial Day weekend, pricing got underway in earnest on Tuesday when Bear Stearns Asset-Backed Securities hit the market with a $323 million deal. Managed by Bear Stearns, the scratch and dent transaction came in at 38 basis points over one-month Libor on the three-year tranche. Also on Tuesday, the Saxon Asset Securitization Trust completed a $984 million home equity deal, via Credit Suisse. Of the $325 million in notes that were marketed broadly to investors, the 3.40 average-life tranche priced at 15 basis points over one-month Libor, while the 4.43-year tranche offered better yields at 190 basis points over the same benchmark.