Prepayments on student loan ABS could spike amid debt forgiveness; Annaly sells stock; the Erbey-Altisource-PIMCO connection; commercial MBS at risk with potential bankruptcy of Regal Cinemas owner.

An appeals court overturned a ruling that ordered UBS to pay more than $2.5 million to a former commercial MBS research analyst. The verdict conflicts with other circuit court decisions and could end up at the Supreme Court.

While key sectors in the non-agency CMBS market faltered in the second quarter, retail and hospitality both saw hefty gains in securitization volume. The GSEs upped their issuance of multifamily MBS, but Ginnie production was down. (Includes two data charts.)

Changes to Form FR-2004 help distinguish between the specified pool and to-be-announced positions of primary dealers.

Financial issues at Bed Bath & Beyond and Tuesday Morning could lead to performance problems in commercial MBS.

Moody’s and other rating services are optimistic about the near future of the CMBS market, with continuing drops in delinquencies expected. Some sectors are performing worse than others.

The $74 million loss on a commercial MBS conduit loan lines the pockets of investors, like Carl Icahn, who have shorted brick-and-mortar retail.

For now, the market is well served by two to four master servicers. But if any of them exit the market, servicing costs and transaction fees could increase.

A recent district court decision illustrates the importance of the powers ascribed to trustees in governing pooling and servicing agreements when initiating a foreclosure action.

While CMBS issuance was down overall, there were a few pockets of strength in the non-agency sector. Agency multifamily MBS issuance tumbled 16% from the fourth quarter. (Includes two data charts.)