ABS

PNC Financial Services, which has limited participation in the mortgage business, may be wading back into the game with its purchase of National City Corp.

The Mortgage Bankers Association (MBA) appointed Catherine Cruz Wojtasik as associate vice president of legislative affairs. In her new role, Cruz Wojtasik will join MBA's lobbying team on Capitol Hill working with Members of the House of Representatives and Senate with an added focus on commercial issues important to MBA's members.

U.K charities have called on the Treasury to put pressure on Northern Rock to change its approach to property repossession. The charities said that the nationalized bank has been aggressive toward repossessions when borrowers fall behind with their mortgage repayments, because of its eagerness to repay the government.

It's going to take some effort for Mexican nonbank company Metrofinanciera to win back the confidence of the market.

Mortgages saw improved funding and strengthening dollar rolls at the beginning of last week. This was because the world government programs were starting to get a foothold. U.S. one-month Libor dropped nearly 90 basis points over the previous week, and mortgages rallied sharply on Monday. Real money, hedge funds and servicers actively bought down-in-coupon.

The European securitization market could see some stabilization in pricing as the European Commission (EC) moves to adopt amendments to mark-to-market regulation.

The face of European securitization changes on an almost daily basis. Solutions drafted to solve the lack of market liquidity have been done on a country-by-country basis.

Although covered bonds are seen as a safer funding alternative for mortgages, there are still some hindrances to the growth of the sector in the U.S, according to participants at last week's Information Management Network ABS East conference in Hollywood, Florida.

The Department of Education (DOE) on Oct. 10 made amendments to its Loan Purchase Commitment Program and its Loan Participation Program. Under these programs, the DOE could purchase eligible FFELP loans that were made for the 2008-2009 academic year, or those originated after May 1.

Though paltry in comparison to previous quarters, credit cards continued to dominate new issuance in the consumer ABS market, as it has for the past year.

Government intervention and a move toward safer structures and collateral are making the current ABCP market a better place to be for issuers and investors alike.

The Troubled Asset Relief Program (TARP), which forms part of the Economic Stabilization Act of 2008, was a major focus at the Information Management Network's 14th Annual ABS East conference held in Hollywood, Florida, last week.

At the Information Management Network's 14th annual ABS East conference in Hollywood, Florida last week, it was easy to see that times are tough. However, it is still a pretty good time to be a credit card issuer, speakers said.

The Treasury clearly has a lot riding on the success of the TARP program, as it may be its last shot at restoring some semblance of normality to the markets.

Spirits were as low as the turnout on the first day of the 14th annual Information Management Network ABS East conference in Hollywood, Florida last week.

CLO market participants at the Information Management Network's 14th annual ABS East conference in Hollywood, Florida last week expressed confidence in the sector's long-term performance, despite the currently depressed spreads.

Manager Activity: AutosFull Credit to Book (Equal if Joint) U.S. Public ABS Market/144A Market

The Treasury Department is reviewing an Federal Deposit Insurance Corp. proposal, which includes using credit enhancements as a tool to encourage loan modifications.

After surging 52 basis points last week, 30-year fixed mortgage rates dropped back 42 basis points this week to 6.04%, according to Freddie Mac's weekly survey.

RealtyTrac reported a decrease in foreclosure activity in September. September saw foreclosure filings on 265,968 properties, a 12% drop from August.