Hawaii

Although Hawaii lawmakers nixed his proposed tourist tax, Gov. Green points to positives.

Providing enough housing for middle class and homeless people has topped legislative agendas in three West Coast states and Hawaii this session.

The state's reliance on tourism makes airports essential to its economy, Fitch said.

The rating action affects $423 million in bonds and certificates of participation. The territory's issuer rating was affirmed at speculative-grade Ba1.

The ratings agency says enplanement levels is key to the action.

Airports, schools and affordable housing received an infusion of cash from lawmakers

"The curve slope has undergone a massive flattening this year and recent trends suggest demand pockets are developing in specific ranges," said Kim Olsan, senior vice president of municipal bond trading at FHN Financial.

"Despite a pick-up in volatility in the rates market, municipals have been performing relatively well in October," according to Barclays PLC.

Moody's says Hawaii's tourism-based economy is disproportionately vulnerable to high inflation. It affirmed the state at Aa2 ahead of a $800 million GO deal.

But governor and an analyst caution about appropriating "excess revenues" before an audit.