Securitization

The auto sector remains the most active part of the ABS market with three transactions boosting the pike. Hyundai Capital America (HCA) and Ally Bank are both in the market with their respective deals.

The Airport Authority for Sydney, Australia is looking to raise funding and will likely turn to the 144A Regulation S market, sources said.

Nonprofit HOPE NOW is estimating so far in 2010 the industry has completed about 975,000 permanent loan modifications, both government and private, getting close to the one million mark.

The U.S. Treasury Department held its conference on the future of housing finance this morning. Among the speakers at the gathering were U.S. Treasury Secretary Timothy Geithner and PIMCO founder Bill Gross.

The Royal Bank of Scotland has reportedly sold a €1.4 billion ($1.8 billion) portfolio of leveraged loans to Intermediate Capital Group.

Moody's Investors Service reiterated Monday that the possible bankruptcy of Ambac Financial Group is unlikely to affect policyholders of its bond insurer subsidiary.

The credit outlook at the top six card issuers is getting brighter, with both chargeoffs and delinquencies falling again in July.

The U.S. Treasury Department held its conference on the future of housing finance this morning. Among the speakers at the gathering were U.S. Treasury Secretary Timothy Geithner and PIMCO founder Bill Gross.

With more clarity on the Federal Reserve's mortgage portfolio, JPMorgan Securities turned to how the market's composition will shift.

Santander is in the market with an auto ABS deal worth $700.5 million. The five-tranche offering is lead managed by JPMorgan Securities, Credit Suisse, and Wells Fargo.

Today the Federal Financial Institutions Examination Council (FFIEC) released guidance on reverse mortgages.

Financial institutions are continuing to show limited signs of a greater willingness to lend to businesses, according to a survey released Monday by the Federal Reserve Board.

CoreLogic, Santa Ana, Calif., reports that — albeit modestly at 1.4% compared to 2009 — in June, year-over-year U.S. home prices (including distressed sale prices) increased for the fifth consecutive month.

Foreign investors' net purchases of agency MBS continued to trend upward in June, rising to $20.4 billion from $17.3 billion in May and $10.5 billion in April, according to a report by Credit Suisse analysts.But foreign investors on a net basis sold $2.2 billion in agency debt in June, a contrast to net purchases of $10.1 billion in May and $3.8 billion in April.

John Walsh, the former chief of staff to the Office of the Comptroller of the Currency (OCC), is now the acting Comptroller of the agency that supervises national banks.

General Growth Properties (GGP), the Chicago REIT that filed for Chapter 11 bankruptcy protection in April 2009, reported a loss of $117.5 million, or 37 cents a share, in the second quarter of this year, compared with a loss of $158.4 million, or 51 cents a share, in the second quarter of 2009.

The week after Wells Fargo & Co. announced the closing of its storefront subprime lending unit, Citigroup's chief executive delivered an impassioned defense of keeping alive his similar operation, CitiFinancial.

While the Basel II process dragged on for years, international and domestic regulators appear intent on delivering a new set of capital and liquidity standards on time by yearend.

Defunct bond insurer Syncora Guarantee last week reported positive net income for the second quarter, reflecting the broad success of the major restructuring it initiated in July 2009 and completed in April.

Ginnie Mae is raising its net worth requirement for MBS issuers, requiring them to meet bank-like capital standards.