Jessica Lerner

This movement comes on the heels of muni yields remaining relatively unchanged throughout November.

November volume was $38.487 billion, up 51.1% from $25.47 billion in 2024. This is above November's 10-year average of $33.743 billion.

Preliminary November issuance figures are at $37.054 billion, up 45.5% year-over-year, according to LSEG.

"Dealer inventories have grown heavier throughout [November], which could put pressure on the market if supply reverts to its weekly average of over $10 billion," said Chris Brigati, CIO and managing director of SWBC, and Ryan Riffe, SVP of capital markets at the firm.

The funds supported new facilities and housing, helping address challenges Navajo Nation communities face, such as long-distance travel and limited access to health care.

"We do not expect any major weakness to take hold as the new issue calendar is beginning to dwindle with only two non-holiday or non-Federal Reserve weeks left in the year," said Birch Creek strategists.

Chicago went to market Wednesday with $454.37 million of STSC refunding bonds, amid heated budget talks. Goldman took down $75 million of the bonds.

The long-awaited jobs report paints a mixed picture for market participants: nonfarm payrolls increased by a greater-than-expected119,000 in September, but the unemployment rate rose to 4.4%.

Flows into high-yield muni mutual funds had slowed over the past several weeks, and the past two weeks have seen outflows.

The market is in a bit of a lull right now as it braces for a deluge of economic data, which could spark volatility, said Jeff Timlin, a partner at Sage Advisory.

The muni market has "demonstrated more conviction with steady demand and appealing relative yields weighing on the long-end while shifting dynamics on the short-end have led to municipals selling-off," said Tim Iltz, fixed income credit and market analyst at HJ Sims.

For munis, the end of the shutdown helps steady the backdrop, said James Pruskowski, an investor and market strategist.

"Continuing yield stability ... suggests a comfortable market that, even with the shutdown apparently close to ending, may resist/lag potential price/yield changes in taxables," said Matt Fabian, president of Municipal Market Analytics.

The new hires in four major offices bring expertise and regional coverage to better serve the firm's clients, and Loops plans to expand further to build on its existing strengths.

Some of the most active sectors have been education (+29%), GOs (+17%) and healthcare (+17%), said Kim Olsan, senior fixed income portfolio manager at NewSquare Capital.

The muni market may see additional volatility due to "uncertainties related to the future of tariffs and stronger inflation prints," said Barclays strategists led by Mikhail Foux.

Investors added $1.266 billion to municipal bond mutual funds in the week ended Wednesday, following $744.3 million of inflows the prior week, according to LSEG Lipper data.

While the market navigates a surge in supply, another focus area has become elections and their potential to shift market demand, as several regional election results will likely garner greater attention over the next few months, said Kim Olsan, senior fixed income portfolio manager at NewSquare Capital.

A rundown of the largest bond referendums.

Municipal bond insurance volume grew 17.7% year-over-year in the first three quarters of 2025, according to LSEG, outpacing the municipal market as a whole.