Based on a rebound in the Federal Reserve's weekly totals, Bloomberg writes "Asset-Backed Commercial Paper Rises Most in 11 Weeks". The article quotes Miller Tabak & Co.'s Tony Crescenzi, "It's a market that's been put through the grinder.... It's been cleansed of mortgage-related instruments, mortgage-related exposures. What remains is a set of issuers that investors trust for the most part."
Also, The Wall Street Journal writes "Asset-Backed Market Is Starting to Recover" in its "Credit Markets" column. While ABCP participants are too shell-shocked to believe it could be over, the Journal says of the broader ABS market, "After the recent drought, the first tentative signs of life are emerging in the $2.5 trillion market for asset-backed securities, the main source of funding for all types of consumer debt. There is investor demand for new deals and supply has picked up".
