New production of non-agency MBS fell sharply in the first quarter of 2016 despite an anomalous rebound in the prime mortgage sector. A mere $8.38 billion of non-agency MBS was issued in the first three months of this year, down 40.8 percent from the fourth quarter and off 64.5 percent from a year ago, according to a new Inside MBS & ABS analysis and ranking. It was the slowest quarter for new issuance since the end of 2013, when just $6.11 billion of new non-agency MBS came to market. The non-agency MBS market remains...[Includes three data tables]