Markets

The elimination of private activity bonds “would throw gasoline on a housing shortage," said John Chiang, California's treasurer.

Blow-back from the sell-side centered on the proposal's potential to drive up infrastructure financing costs and accelerate the departure of smaller firms from the business.

The last of the week’s big municipal bond deals came to market on Thursday as municipals wavered in mid-session trade.

The value of wholesale inventories rose 0.3% in September, unrevised from the 0.3% gain estimated in the advance estimate, while wholesale sales rose 1.3%, data released Thursday by the U.S. Commerce Department showed.

Market participants are waiting for the last major deal of the week to price while also hoping for some clarity on the tax reform situation.

Initial claims U.S. state unemployment benefits rose by 10,000 to 239,000 in the November 4 week.

Senate Finance Commitee chairman Orrin Hatch's tax proposal will likely be kinder to municipal bonds than the House's bill, but harder on states and localities.

Deals came in waves in the busiest day of the week Wednesday, with the market firming and most issuers able to lower yields.

Mike Duggan won another term in Detroit, and Flint's Karen Walker beat back a recall effort.

Voters in Houston approved the measure by a more than three-to-one margin.