UPDATE 1-Guidance emerges for Hyundai $960 mln auto ABS deal

(updates with price guidance levels)

NEW YORK May 3 (Reuters) - Hyundai Auto Receivables Trust will sell $960.8 million of asset-backed securities supported by auto loans on Wednesday, market sources said on Monday.

The deal includes $219 million of A1-plus rated 0.28-year notes that are expected to price at a spread of 1 to 2 basis points over Libor and $238 million of AAA-rated one-year notes expected to price at a spread of 17 to 20 basis points over Eurodollar swap futures, market sources said.

Hyundai's offering also includes $317 million of AAA-rated 2.15-year notes that are expected to price at a spread of 17 to 20 basis points over swaps and $186.8 million of AAA-rated 3.8-year notes that are expected to price at a spread of 25 basis points over swaps, market sources said.

JPMorgan Securities, RBS and Societe Generale are the lead underwriters for the upcoming sale, the sources said.

The auto ABS segment has led issuance in the asset-backed market this year, comprising some $20 billion of the $37 billion of securities sold to investors.

Recent sales from Ford Motor Credit, Toyota Auto, Mercedes Benz and others have been met with strong demand from investors and has allowed issuers to priced their deals at reduced funding costs. (Reporting by Nancy Leinfuss, Editing by Chizu Nomiyama)