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Market Update: Municipal bond yields decreased during the second quarter with AAA 5-year, 10-year, and 20-year yields falling 21, 37, and 49 basis points, respectively. Yields dropped dramatically after the United Kingdom (U.K.) voted to leave the European Union (EU), in late June. The Prime Minister of the U.K., David Cameron, resigned shortly after the announcement. The process for leaving the EU will take time and involve many discussions with other EU members over various trade agreements. It is too soon to tell who benefits from this decision, but it will create short-term uncertainty which will affect all financial markets.

Market Update: Municipal bond yields decreased during the first quarter with AAA 5- year, 10-year, and 20-year yields falling 15, 18, and 8 basis points, respectively. In March, the Federal Reserve announced that their pace of interest rate increases was likely to be slower than initially expected. It anticipates two rate increases this year, down from the initial four predicted. Slower growth abroad and market volatility were reasons for the reduction in rate rising estimates.

Market Update: As many market participants anticipated, on Wednesday, December 16th the Federal Reserve announced its first rate hike since 2006 increasing the fed funds rate to a range of 0.25% – 0.50%. Despite the news, municipal bond yields decreased during the fourth quarter with AAA 5-year, 10-year, and 20-year yields falling 2, 11, and 25 basis points, respectively. According to Bloomberg, the market is not projecting a rate hike during the Fed’s January meeting.

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Market Update: As many market participants anticipated, on Wednesday, December 16th the Federal Reserve announced its first rate hike since 2006 increasing the fed funds rate to a range of 0.25% – 0.50%. Despite the news, municipal bond yields decreased during the fourth quarter with AAA 5-year, 10-year, and 20-year yields falling 2, 11, and 25 basis points, respectively. According to Bloomberg, the market is not projecting a rate hike during the Fed’s January meeting.

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Market Update: Municipal bond yields decreased during the third quarter with AAA 5-year, 10-year, and 20-year yields falling 10, 25, and 21 basis points, respectively. In mid-September, the Federal Reserve reaffirmed its view to maintain the target range for the federal funds rate of 0.00% – 0.25%. As a result of the Fed announcement, the futures market is pricing in a fifty-percent chance that the first rate hike will not occur until March of next year.

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Market Update: Municipal bond yields decreased during the third quarter with AAA 5-year, 10-year, and 20-year yields falling 10, 25, and 21 basis points, respectively. In mid-September, the Federal Reserve reaffirmed its view to maintain the target range for the federal funds rate of 0.00% – 0.25%. As a result of the Fed announcement, the futures market is pricing in a fifty-percent chance that the first rate hike will not occur until March of next year.

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Market Update: Municipal bond yields increased during the second quarter with AAA 5 year, 10 year, and 20 year yields rising 14, 32, and 34 basis points, respectively. Positive economic data, a surge in supply and anticipation of a rate increase by the Federal Reserve helped drive rates higher across the curve.

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Market Update: Municipal bond yields increased during the second quarter with AAA 5 year, 10 year, and 20 year yields rising 14, 32, and 34 basis points, respectively. Positive economic data, a surge in supply and anticipation of a rate increase by the Federal Reserve helped drive rates higher across the curve.

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Market Update:  Municipal bond yields ended the 1st quarter of 2015 relatively unchanged from prior year end.  Municipal yields rose in February, partially offsetting the declines across the yield curve that occurred during the month of January.  During March, yields on the long end of the curve fell, while short-term yields (5 years and in) continued their rise from February.  

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Market Update:  Municipal bond yields ended the 1st quarter of 2015 relatively unchanged from prior year end.  Municipal yields rose in February, partially offsetting the declines across the yield curve that occurred during the month of January.  During March, yields on the long end of the curve fell, while short-term yields (5 years and in) continued their rise from February.

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