Muni Yields Creep Higher on Fed's Inflation Concerns, Higher CPI

Johnson, Anastasija; Curran, Bill
March 2005
Bond Buyer;3/24/2005, Vol. 351 Issue 32097, p2
Trade Publication
The article reports that the municipal bond market finished in negative territory in March 2005 even though Treasuries rebounded in the afternoon, as yields continued to creep higher to reflect concerns about inflation expressed by the Federal Reserve and confirmed by a higher-than-expected consumer price index. When the market goes through sharp moves, the bid side turns shallow and weak, leading to wide bid-ask spreads and sluggish activity. Traders said the municipal bond market underperformed Treasuries because it also had to distribute a few sizeable new issues before an abbreviated session and a full market close.


Related Articles

  • Munis Rise, Following Treasuries; California Sells $500M of GOs. Chesla, Nicholas; Johnson, Anastasija // Bond Buyer;6/18/2004, Vol. 348 Issue 31908, p2 

    Reports developments related to the bond market in the U.S. as of June 18, 2004. Increase in the municipal bonds; Move of California to reenter in the new-issue market with general obligation issue; Rise of the manufacturing index of the Federal Reserve Bank of Philadelphia.

  • Commentary: ProPublica Throws the Kitchen Sink at Tobacco Bond Issuers. Craft, Michael C. // Bond Buyer;8/15/2014, Vol. 1 Issue F331, p1 

    In this article, the author reflects on an article related to the issuance of municipal tobacco master settlement agreement (MSA) bonds by different U.S. states published by the U.S.-based investigative journalism firm ProPublica in August 2014. Topics discussed include issuance of tobacco bonds...

  • Munis Firmer, Following Rally in Treasuries. Scarchilli, Michael; Posner, Matthew // Bond Buyer;9/22/2006, Vol. 357 Issue 32472, p2 

    The article reports that municipal market has followed rally in Treasury market after the early release of the September 2006's reports on manufacturing activity compiled by the Philadelphia Federal Reserve Bank that showed contraction in September. New York traders point out that they are...

  • Munis Unchanged as Data Matches Expectations. Scarchilli, Michael; Campbell, Dakin // Bond Buyer;8/16/2007, Vol. 361 Issue 32693, p2 

    The article reports on the unchanged municipal bonds market in New York. It is stated that the municipal bonds in the state has been unchanged since the inflation data has matched the expectations. Information about the developments in trade as reported by the Municipal Securities Rulemaking...

  • Munis Finish Lower as Buyers Retreat Amid New Concerns About Inflation. Johnson, Anastasija; Curran, Bill // Bond Buyer;9/30/2005, Vol. 353 Issue 32229, p2 

    Reports that the municipal bond market finished lower as buyers retreated from the market amid concerns about inflation and new economic issues in the U.S. Loosening of offerings from traders; Cheaper trades reported by the Municipal Securities Rulemaking Board; Performance of treasuries after...

  • Munis Climb and Treasuries Rally; $853M of N.Y.C. Bonds Repriced. Curran, Bill // Bond Buyer;5/19/2005, Vol. 352 Issue 32136, p2 

    The article reports that with a benign inflation report sparking a rally in Treasuries, the United States municipal bond market climbed higher and investors showed strong demand for a heavy calendar of new issues, including 853 million dollars of New York City tax-exempt paper. Traders said...

  • Something for Everyone? Saskal, Rich // Bond Buyer;9/24/2004, Vol. 349 Issue 31976, p1 

    Reports on California's issuance of revenue anticipation notes slated to price on September 29, 2004 after a two-day retail order period. California's efforts to find as broad a market as possible for the sizable sale; Total amount of revenue anticipation notes to be issued by California; Los...

  • Liberty Zone Extension Near Passage. Barnett, Susanna Duff // Bond Buyer;9/24/2004, Vol. 349 Issue 31976, p1 

    Reports on the U.S. House's near approval of a tax legislation that would extend the New York Liberty zone private-activity bond program for five years and restore the qualified zone academy bond program through the end of 2005. Extension of the separate authority for tax-exempt bonds issued in...

  • Market Finishes Little Changed As Bid Side Fades and Treasuries Falter. Johnson, Anastasija // Bond Buyer;9/24/2004, Vol. 349 Issue 31976, p2 

    Reports on developments concerning municipal bonds in the U.S. as of September 23, 2004. Release of the minutes from the August Federal Open Market Committee meeting that stated the need for the continuation of a tightening monetary policy; Trends in the Treasury market; Sale of a triple-A rated...


Read the Article


Sorry, but this item is not currently available from your library.

Try another library?
Sign out of this library

Other Topics