Hawaii

The effects could hit island economies, like those of Puerto Rico and the U.S. Virgin Islands, whose bonds are speculative grade partly because of fiscal concerns.

S&P cited the government's improved fiscal position as a factor in the positive outlook.

A Moody's Ratings upgrade means Hawaii DOT's airport division is headed to market with across-the-board double-A ratings.

As headline risk swirls around the Fed and the transition to the Trump administration, municipals have largely stayed in their own lane. November finds the municipal market "in far better technical shape, with an attractive backdrop through at least year-end," J.P. Morgan's Peter DeGroot said. 

The Aloha State received three rating affirmations as it prepares to sell $750 million of taxable general obligation bonds.

Fears of a Hawaiian Electric bankruptcy abated after a settlement was announced that would cap the utility's liability for the Maui wildfire under $2 billion.

The triple-tax-exempt bonds should be in demand, especially the non-AMT series, analysts said.

The utility had $542 million of outstanding tax-exempt special purpose revenue bonds issued through the Hawaii Department of Budget of Finance at year-end 2023.

The authority is refunding its 2014A bonds to gain debt service savings.

Hawaii Gov. Josh Green's last-minute attempt to resuscitate a bill that would have allowed Hawaii Electric Co. to issue debt, backed by a rate increase, failed.