Loft meaning the strand itself "looks" big, but is really fluffy so to speak. I have a few skeins of this very yarn that I made Chunky Ruffles and Ribs Scarf
because the scarf was done up and on display at a shop I visit. The rib pattern makes it so SCWOOSHY.
I think by "knits down" meaning it sort of collapses as it's entertwining with itself. It's GREAT yarn!!! LOVE IT!!!!