The tax-exempt market traded slightly stronger Friday afternoon though participants said the overall market lacked momentum and direction.
"The market is stagnant," a Chicago trader said. "You get stuff done but I don't think anyone wants to make a huge bet either way. Just bob and weave. There is money out there but just not a whole lot of direction. The sales guys are on suicide watch. It's just not easy right now."
On Thursday, municipal bond market scales finished stronger after posting losses Wednesday.
Yields on the Municipal Market Data triple-A GO scale fell as much as two basis points. The 30-year yield fell two basis points to 2.94%. The 10-year was flat at 1.90% for the second session while the two-year closed steady at 0.31% for the third session.
Yields on the Municipal Market Advisors 5% coupon triple-A benchmark scale ended flat to one basis point lower. The 30-year yield fell one basis point to 3.02%. The 10-year closed flat at 1.90% for the second session while the two-year closed unchanged at 0.35% for the 18th session.
Treasuries continued to mostly gain for the third session Friday afternoon. The benchmark 10-year yield fell one basis point to 1.97% while the 30-year yield dropped two basis points to 3.15%. The two-year yield rose one basis point to 0.27%.