The anticipated post-conference explosion in ABS new-issue supply lived up to its billing last week, pricing over $10 billion as of Thursday's close and nearly $3 billion slated for Friday. The auto loan sector finally came out of hibernation, pricing more supply last week than it had seen throughout January. Additionally, there were notable lead manager dynamics throughout the week, including a sneak preview of how execution might play out after the completed merger of JPMorgan Chase and Bank One Corp.
The pair jointly led two offerings last week, one from Bank One's BOIT credit card vehicle, the other from JPMorgan's Chase Funding ABS Trust. In a move reminiscent of when Chase and JPMorgan merged and quickly jointly led in-house offerings, the two banks seemingly cannot wait for the day of marriage to hop into bed.