Bonds

Puerto Rico’s economic activity index for August showed improvements from July and from August 2020. The index’s value was up 0.2% from July and up 3.3% from August 2020. August was the second consecutive month the index went up on a month-to-month basis. “The recovery in economic activity continues but at a weaker pace,” said

As the lights and tumult died down, New York City Mayor-elect Eric Adams stood among his supporters at his campaign headquarters in Brooklyn and looked out over the crowd. Just having defeated Republican Curtis Sliwa, by a 73% to 23% margin Tuesday night, Adams felt it was time to bring home his message of unity

President Joe Biden said he’ll announce soon his choice of nominees for chair and other vacancies on the Federal Reserve, amid a scandal over stock trades by central bank officials. “We’ll be making those announcements fairly quickly,” he said Tuesday at a press conference at a climate summit in Glasgow, Scotland. Biden has started meeting

Municipals were little changed and lightly traded Monday as the market readies for the new month and lighter supply this week while all eyes remain on Wednesday’s FOMC meeting. Triple-A benchmarks were little changed on Monday while ratios hovered near recent levels. Municipal-to-UST ratios saw the 5-year at 53%, the 10-year at 76% and the

The Puerto Rico Oversight Board said the current bond adjustment deal would collapse unless the bankruptcy judge said a recently passed law, which bars pension “cuts,” actually allows for the board’s planned pension changes. Puerto Rico Oversight Board Attorney Martin Bienenstock raised these concerns in a pretrial conference and hearing leading up to the Plan

In the wake of the recent announcement that a public pension plan invested $25 million in digital assets, some industry analysts believe that high levels of exposure to volatile cryptocurrency could be cause for concern. The Oct. 21 purchase was made by the $5 billion Houston Firefighters Relief and Retirement Fund (HFRRF) in partnership with

Mesirow has taken the first steps in what will be a multi-year effort to expand its presence in Florida and across the Southeast. After having one of the most successful fiscal years in its 84-year history, the firm announced on Thursday that it would build up its offices in the region by hiring more staff

The Build Back Better legislation unveiled by the White House yesterday not only failed to include municipal market priorities but may also hurt demand for muni bonds by institutional investors. The bill features a new 15% corporate minimum tax that would apply to the adjusted financial statement income for corporations with more than $1 billion

The Municipal Securities Rulemaking Board plans to request comment on its Rule G-27 related to dealer supervision in the next month. That and a number of other issues were discussed during the MSRB’s quarterly board meeting this week. “As part of our commitment to prudent and practical regulation, we are focused on a retrospective review

Puerto Rico’s leaders welcomed Pres. Joe Biden’s Build Back Better Act budget proposal for its inclusion of funding for three programs that would benefit the island. As it stood on Friday, Biden’s $1.85 trillion spending and taxing proposal would introduce the Supplemental Security Income program to provide $1 billion to island residents, would increase the

Municipal bonds were lightly traded and benchmark yields steady to end October while U.S. Treasuries bounced throughout the trading session, ending stronger near the close, and market participants are pointing to near-term volatility for both asset classes going into November. In the near-term, the upcoming Federal Open Market Committee meeting should contain “an intense discussion

Municipals were steady but with a firmer bent as new issues were the focus even as volatility in U.S. Treasuries returned and yields swung higher, moving the 20-year bond above the 30-year. Triple-A benchmark yields fell one to two basis points, with the larger moves outside 10 years. Municipal-to-UST ratios fell as a result, with

A flood of Chicago paper planned over the next year should find an amiable investor reception after federal aid and rebounding revenues stabilized the city’s bond ratings and temporarily drowned out worries over how the city will structurally balance its books once the aid dries up. That’s the assessment offered by several members of the

The Illinois Municipal Electric Agency won an upgrade from Fitch Ratings due to positive fiscal operating trends that analysts don’t believe will suffer from the power agency’s ownership stake in the Prairie State coal facility that faces new state-imposed clean energy mandates. Fitch raised IMEA’s issuer default rating and credit on $831 million of power

Municipals were stronger on the backs of a U.S. Treasury rally but underperformed the movements there, pushing ratios on the 10-year near 80% and the 30-year close to 90%. Triple-A benchmark scales were bumped two to three basis points on bonds outside nine-years while the 10-year UST fell seven basis points and the 30-year fell

As California Gov. Gavin Newsom preps for his annual budget reveal in January, he anticipates another “historic surplus,” he said during an interview at the Milken Institute’s global conference last week. The state’s revenues were $9.1 billion more than expectations outlined in the fiscal 2022 budget signed in July, according to the state Department of

Municipals saw yields rise in spots along the curve, mostly inside of 10 years, as secondary trading picked up, and more bonds were out for the bid. U.S. Treasuries moved to lower yields and equities ended in the black. Triple-A benchmark yield curves saw one to two basis point cuts. After mostly ignoring the better

Puerto Rico bankruptcy Judge Laura Taylor Swain threatened to dismiss the case and ordered the bankruptcy parties to mediation. “My patience is wearing thin,” Swain said, noting the case has taken 4 1/2 years so far. Puerto Rico could lose bankruptcy protection against bondholder suits, she said, as she might “be forced to consider” dismissing

Municipals faced pressure on the short end, with the one- and two-year yields rising two basis points, while U.S. Treasuries saw gains on bonds inside five-years and equities were in the black. For municipals, Monday’s session was more about readying for the primary and prepping for month-end positioning. Municipal-to-UST ratios showed the 5-year at 53%,

It appears the Puerto Rico Plan of Adjustment will collapse as the Senate lacked the votes to approve a bill to back the plan and missed the Oversight Board’s deadline for such action. “It is a stunning development,” CreditSights Senior Municipals Analyst John Ceffalio said. “It had seemed the legislature had gotten all of its