Still-strong wholesale vehicle values resulted in yet another decline for U.S. auto ABS losses, according to the latest index results from Fitch Ratings.

Analysts said October auto ABS losses also remained stable as the new model season kicked into gear for vehicle sales.

Fitch pointed out the Manheim Used Value Index gained 1 percent, increasing to 121.9 in October from 120.7 in September.

"Used-vehicle inventories have remained tight for the past year and a half, post-recession, challenged to meet demand and thus driving up values," analysts said.

Prime cumulative net losses continued to drop through October recording the lowest level to date at 0.30 percent, a 6-percent improvement month-over-month from September. This is a 50-percent decline year-over-year as borrower credit quality of newer ABS has improved through the year.

Fitch found 60-day delinquencies also dropped for prime auto loans to 0.37 percent for October. This reading is a 23-percent improvement year-over-year and a 5-percent drop month-over-month.

"Prime sector delinquencies have stabilized with the U.S. economy showing gradual (albeit protracted) improvement," Fitch said.

The firm indicated subprime delinquencies have also remained stable through the second half of this year with negligible movement in levels since June.

Analysts determined 60-day subprime delinquencies came in at 3.73 percent in October, a 7 percent increase month-over-month and 20-percent increase year-over-year.

Fitch found October annualized net losses improved year-over-year for both prime and subprime sectors while losses ticked up month-over-month. Prime ANL rose to 0.34 percent, marking a 40 drop year-over-year but a 21-percent jump month-over-month. Subprime ANL improved 7 percent year-over-year but deteriorated 14 percent month-over-month.

Fitch's auto ABS indices comprise of $62.36 billion of outstanding notes issued from 118 transactions.

Of this amount, 76 percent comprise prime auto loan ABS and the remaining 24 percent subprime ABS.

"Fitch's outlook for prime auto ABS asset performance heading into 2013 is stable, while ratings performance outlook is positive for prime auto ABS," analysts said.