After the week's losses, August could kick off with a "buyer's market" for munis, Peter DeGroot wrote for J.P. Morgan.
Analysts say the drought, which is expected to continue for at least several months, could have economic impacts.
Maryland has inked an $85 million deal to secure the rights to the Preakness Stakes by authorizing the Maryland Economic Development Corp. to issue revenue bonds to fund the sale.
A California-based technology company was early in the contract phase of acquiring land in Oregon's capital city to build a data center.
With longer-term municipal bond yields falling, there's less of an incentive to issue tender option bonds, analysts said, but a market remains.
The planned Sites Reservoir project in California faces financial uncertainty as officials await a regulatory decision about its usable water supply.
