Markets

The state's appropriation backed debt was also upgraded.

Revenue volatility and bond-rating agency opinions can complicate states' rainy-day planning.

Municipal bonds turned weaker at midday as the market looks ahead to next week’s healthy new issue calendar.

"This is deeply troubling," treasurer Joe Torsella said of the commonwealth's revenue situation

The rating agency cited a liquidity boost from its sewer-system sale.

Little activity is expected in the municipal bond market ahead of next week’s new issue slate.

Inflationary pressures eased in July.

The U.S. international trade gap narrowed in June to $43.6 billion, smaller than the $44.1 billion gap expected.

The July employment report released Friday, which showed nonfarm payrolls rose by a stronger-than-expected 209,000 following a net 2,000 upward revision to May-June payrolls, will be viewed by many as a sign of strength.

In the week ended Aug. 3, the weekly average yield to maturity of the Bond Buyer Municipal Bond Index was unchanged at 4.02% from the previous week. The BB40 Index is based on the price of 40 long-term bonds.