Bank ABS holdings rose in the first quarter thanks to sizable gains in securities backed by consumer and auto loans. TD Bank accounted for much of the increase. (Includes two data tables.)
Fannie saw a slightly bigger increase in Supers issuance than Freddie did in the first quarter. Ginnie Platinum issuance was down, but the agency led the way in CMO production. (Includes two data tables.)
Soaring oil prices haven’t much dimmed the outlook for aircraft-backed securitizations, which may be less exposed to inflation from the Iran war compared to subprime consumer ABS, according to Goldman Sachs.
A Federal Reserve economist estimates that a one-percentage-point steepening of the yield curve reduces the spread between mortgages and the 10-year Treasury yield by 40 basis points.
MBS investors are likely to charge a pay-up for securities backed by mortgages underwritten with VantageScore — at least until they’re confident prepayment speeds won’t accelerate.