Taylor Riggs

The tax-exempt market opened the first trading session of the fourth quarter on a steady to weaker tone as dealers lightened inventory as the government shutdown started and the debt ceiling limit loomed.

With little new issuance in the primary, buyers looked to the secondary market Tuesday morning, buying bonds from a large bid list Vanguard put out early in the morning.

A government shutdown had little impact on the bond markets Tuesday morning as both municipal and Treasury yields were mostly unchanged.

The tax-exempt market finished September on a positive note, leaving yields almost 50 basis points lower for the month, for the first gain since April.

The tax-exempt market saw extremely light trading Monday afternoon after a recent rally in bond prices kept buyers hesitant about jumping back into the market at new low yields.

The municipal bond market is on track to post a gain in September its first after four months of losses.

The tax-exempt market ended a stronger week that saw demand for new issues and lower yields in the secondary market on a steady note Friday, as traders took a step back after 16 consecutive sessions of steady to lower yields.

The tax-exempt market posted its third consecutive week of gains as yields fell as much as nine basis points on municipal bonds.

Light issuance next week and considerable slowing in the pace of mutual fund outflows kept the municipal bond market steady Friday afternoon despite an already 50-basis-point drop on the 10-year yield this month.

The tax-exempt market opened the last trading session of the week on a quiet note with traders saying secondary activity was light.

The tax-exempt market ended on a steady note Thursday, extending for another session a flat to firmer tone in the municipal bond market since Sept. 6.

Municipal bonds traded with a lighter tone Thursday afternoon as the week's largest deals priced earlier in the week and bonds in the secondary market started to look expensive after a week of higher prices.

A weaker Treasury market Thursday morning held munis back from posting another session of gains as traders said the municipal market was quiet with steady trading.

A firmer tone in the municipal bond market persisted Wednesday, even as supply rose with the largest deals of the week pricing for investors. Many of the deals were oversubscribed and bumped up in price in a sign of demand.

A firmer tone in the municipal bond market held up in the midst of the largest deals of the week pricing for institutions Wednesday and traders said new issues were oversubscribed, passing a test of demand.

Ahead of the largest deals of the week pricing in the municipal bond market Wednesday, tax-exempts had a stronger tone.

Demand in the new-issue market pushed municipal bond prices higher Tuesday for the 10th consecutive trading session as a triple-A rated Denver bond deal set the firmer tone in the competitive market and retail investors were lured in by New York City's general obligation debt.

The tax-exempt market continued to grind higher as traders said deals in the new-issue market were very well received, and that demand was indicative of overall strength in the market.

The tax-exempt market continued with a firmer tone Tuesday morning as traders said the market saw firm bids in a week with overall light supply.

The municipal bond market strengthened for the ninth consecutive trading session Monday amid firmer Treasuries and limited new issue supply this week. New York City took advantage of demand, pricing $500 million of general obligation bonds in one of two retail order periods.