The European securitization market kicked off the week in a relatively calm fashion following last week's attacks. Sources at The Royal Bank of Scotland said that they had neither seen a retreat or progression into ABS, adding that secondary trading has all but stopped as the industry turned its focus on the remaining primary calendar in anticipation of the August lull.

New to the pipeline this week is the GBP750 million ($1.31 billion) nonconforming RMBS from Merrill Lynch's Mortgages PLC. A total of GBP669.5 million of fast- and slow-pay senior tranches are supported by five subordinated tranches, including a turbo-and a slow-pay double-B rated tranche - neither of which is being offered. It's the seventh deal to come from the Mortgages Plc series, the last transaction, Mortgages No. 6, closed last November. As in the prior securitizations, the assets supporting the notes are nonconforming subprime first-lien residential mortgage loans originated by entities trading under the name of Mortgages PLC and secured on residential properties in England, Wales, Northern Ireland and Scotland.

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