Bonds

Investors digested three mammoth deals of $1 billion or more in the primary market on a heavy day of issuance as municipals remained unchanged, Treasuries were mostly steady, and more than $2.5 billion flowed into long-term municipal bonds. The primary market activity was brisk Tuesday as all eyes turned to the Federal Open Market Committee’s

Fitch Ratings has upgraded Sacramento, California’s issuer default rating to AA from AA-minus. The outlook is stable. Monday’s upgrade “reflects the city’s steady improvements in financial resilience based on incremental gains in reserves. Sacramento’s underlying economic growth coupled with a voter-approved sales tax, which has been permanently renewed, have fueled the increase in reserves,” Fitch

Municipals were steady and relative value increased on the long end of the market amid rising Treasuries Tuesday. The Puerto Rico Aqueduct and Sewer Authority came to market with over $800 million of bonds as two New York issuers offered large deals to hungry retail investors ahead of Wednesday’s release of the Federal Open Market

The Federal Reserve told a judge not to scrap Libor as requested by consumers in a lawsuit because it would pose a risk to financial stability and undermine years of global planning for a transition to a new benchmark for borrowing rates. A staged transition away from the London interbank offered rate is underway globally,

Municipals were steady on Monday as New York City took orders of over $110 million on the first day of a two-day retail order period for $1.039 billion of general obligation bonds. Investors prepared for a week that will see nearly $10 billion of new volume come to market. Triple-A benchmark bonds from 2022 to

ICE Data Services has launched a new service designed to help investors navigate the complex world of social impact investing in the municipal bond market. The ICE social impact scores, powered by risQ, will let the service’s users compare which local communities will be socially impacted the most by their investments, a strong component in

Nine mayors from across the country backed House Speaker Nancy Pelosi’s call for Congress to approve both the Infrastructure Investment and Jobs Act and the $3.5 billion budget reconciliation package. The same number of moderate Democrats in the House came out Thursday against Pelosi’s approach, saying the House shouldn’t delay passage of the bipartisan infrastructure

Two Rhode Island agencies will go to the market with negotiated infrastructure and housing deals next week. The Rhode Island Infrastructure Bank on Tuesday plans a $128 million refunding of Series 2021A state revolving fund revenue bonds. Tuesday will also mark the retail order period for the Rhode Island Housing and Mortgage Finance Corp.’s $172

Forward delivery bonds have already surpassed their annual record for issuance as issuers use the tool, along with taxable refundings, to replace the loss of tax-exempt advance refundings. Forward delivery bonds are attractive to both issuers looking for savings and investors seeking any incremental yield in an uber low-rate environment, Barclays PLC said in a

Municipal bonds were little changed to slightly firmer on the short end Friday after a week in which the longer end of the yield curve brought yields back to early July levels, with pressure from more supply and a weaker U.S. Treasury market. UST yields reversed their negative course with the 10-year falling seven basis

The curve steepening continued Thursday with a steady tone inside 10-years and pressure on bonds outside there forced another session of one to two basis point cuts to benchmark yield curves as U.S. Treasury yields also rose and equities were mixed. Triple-A benchmarks have the 10-year at 0.90%-0.91% and the 30-year at 1.48%-1.50%. With the

Federal Reserve Bank of Kansas City President Esther George said the central bank needs to move ahead with reducing monetary stimulus, citing expectations for continued labor-market gains. “Now, with the recovery underway, a transition from extraordinary monetary policy accommodation to more neutral settings must follow,” George said in the text of a virtual speech to

Chicago must close a $733 million gap in its next budget as it looks to federal relief and savings from a $1 billion refunding to balance the books this year after scrapping scoop-and-toss plans. “While we still have hard work ahead of us in order to close this gap, this figure is a great indication

Municipals faced pressure outside of 10 years Wednesday, moving benchmarks on those bonds cheaper by two basis points, while U.S. Treasuries were little changed and new issues showed the spread tightening that continues on sought-after credits. In the primary, an airport deal out of Pittsburgh saw compelling levels for the sector that has seen spread

Late in the fourth quarter of his tenure, New York Mayor Bill de Blasio has punted on a fix for the 70-year-old Brooklyn-Queens Expressway. The mayor last week, without mentioning any cost or funding mechanism, announced a plan to keep the city-owned 1.5-mile crumbling, layer-cake triple cantilever from Sands Street to Atlantic Avenue in Brooklyn

Municipals felt the pressure of an increase of supply and a weaker U.S. Treasury market, and benchmarks saw two- to three-basis-point cuts to scales, but new issues repriced to lower yields. The 10-year muni hit 0.90% on ICE Data Services scale and just below that on Refinitiv MMD, Bloomberg BVAL and IHS Markit, reaching early

Municipal market participants question the wisdom of executing Puerto Rico’s bankruptcy without local legislative approval for new bonds and instead relying on court-approved debt, as the Oversight Board is exploring. New bonds are key to Puerto Rico’s exit from bankruptcy, as are cuts to Puerto Rico’s three main pension systems: the Employees Retirement System, Judicial

Municipals were a touch weaker to start the week as U.S. Treasury yields rose again, with the 10-year topping out at 1.32% and the 30-year creeping closer to 2% while equities were mixed on negative COVID Delta news. Triple-A benchmarks saw cuts of one to two basis points across the curve, but still outperformed two

The Puerto Rico Oversight Board filed a brief summarizing the arguments it will make in November’s Plan of Adjustment hearing, arguing it has treated the creditors fairly, the plan is in their best interests, and its plan preempts dozens of local laws. The board was required by bankruptcy Judge Laura Taylor Swain to file an

Cain Brothers, a division of KeyBanc Capital Markets Inc., has hired Kyle Hemminger as it looks expand its healthcare practice. Hemminger joined the healthcare public finance group in the Columbus, Ohio, office this month as a director to cover healthcare and senior living organizations nationally. He joins a healthcare team that now totals 23 professionals

Videos of floodwater in upper Manhattan went viral last month as storms flooded New York’s streets with four inches of rain. While subway commuters waded through waist-high water at 157th Street, water cascaded down the Dyckman Street subway station, home to the Metropolitan Transportation Authority’s A line. “These videos are a reminder of more dramatic

The shutdown of a major California hydroelectric power facility underscores the severity of drought conditions in the state. The California Department of Water Resources’ Hyatt Powerplant at Lake Oroville, without enough water in the reservoir to operate normally, is offline. “This is the first time Hyatt Powerplant has gone offline as a result of low

The $5 billion American Dream super mall in New Jersey’s Meadowlands had to tap into a reserve fund to make a bond payment as it copes with a cash flow crisis exacerbated by the coronavirus. The 3.3 million-square-foot behemoth, which features an indoor ski slope, amusement park and water park, used the reserves to make

Municipal benchmark yields rose by as much as five basis points Friday, following a stronger-than-expected jobs report, but the asset class outperformed the moves in Treasury bonds. An increase in supply next week may test current low levels. Continued strength in the economy was seen as nonfarm payrolls rose 943,000 and the jobless rate fell

Ohio inched closer to a triple-A rating as Fitch Ratings Thursday lifted the outlook on its AA-plus rating to positive. The rating agency cited “Ohio’s sustained trend of balanced finances and growth in reserves that strengthens the state’s financial resilience as it confronts cyclical economic and revenue trends.” Fitch’s action comes ahead of a $56.5

Municipals were mostly steady, ignoring other markets Thursday as the week’s last sizable new issues closed books while U.S. Treasuries rose and equities were up on better economic data. Secondary trading petered off into the afternoon, holding triple-A benchmarks steady, as most participants await Friday’s nonfarm payrolls. For the 22nd consecutive week, Refinitiv Lipper reported

Bankruptcy Judge Laura Taylor Swain rejected a proposed committee to represent retail holders in Puerto Rico’s debt restructuring while she allowed parties representing Debt Recovery Authority bondholders to continue their efforts to protect their collateral from Oversight Board actions. Swain made both rulings at Wednesday’s omnibus hearing for the Puerto Rico bankruptcy. Puerto Rico Bankruptcy

The Federal Reserve Bank of San Francisco has declined to comply with a document request by Sen. Patrick Toomey as part of the Pennsylvania Republican’s investigation into Fed research on topics including climate change and racial justice. A Republican aide on the Senate Banking Committee who is familiar with the matter said that instead of

Illinois’ flawed pension funding system weighs heavily on the ratings of some struggling local government ratings and legislative action to date has made little headway in solving the quagmire, S&P Global Ratings warns. State legislative action consolidating suburban and downstate public safety funds and moving Chicago to an actuarial-based contribution help but they fall short

Municipals struck a firmer tone on the short end Tuesday as the new-issue calendar got underway, with strong competitive loans, while U.S. Treasuries held steady and equities strengthened into the afternoon. Triple-A benchmark yield curves were bumped on the short end as bonds inside of 10 years have been more tightly bid. Municipal-to-UST ratios were