Monday, August 7, 2017

Municipal Bond Market

Munis finished weaker on Friday as traders waited for $7.32 bn to hit the market this week. Of the $7.32 bn, $4.77 billion is of negotiated deals and $2.55 billion is of competitive sales. One of the big deals of last week was Bay Area Toll Authority of Calif.’s $1.4 billion bond offering. Merrill priced the deal which consisted of $552.09 million of senior bonds and $852.02 million of index-rates and fixed-rated subordinate bonds. The subs were rated A1 by Moody’s and AA- by S&P while the seniors were rated Aa3 by Moody’s and AA by S&P. It’s also worth noting that muni bond funds saw another week of inflows.