Markets

The county commission said it hopes to regain Moody's ratings this fall.

UST yields rose across the curve in response to the employment report with the two-year rising nearly 10 basis points while municipals largely ignored the moves and ratios fell as a result.

The growth of the muni market comes as issuance surges, with the first half of the year seeing $280.64 billion of supply, up 14.3% year-over-year, according to LSEG.

The deal is the second large bond issued from the Public Energy Authority of Kentucky this year.

A year after raising its ratings to investment grade, Moody's Ratings upgraded Detroit's issuer and general obligation bond ratings again, to Baa1.

MFS Investment Management predicts "compelling opportunities for muni investors" in the second half of the year.

Up to $505 million of bonds could be issued.

"We are entering a period during the summer months in which demand historically outweighs very limited supply, resulting in a supportive performance environment but more limited investment opportunities," said J. Robert Lind of Lind Capital Partners.

Issuance this year has been "relentless" since the start of the year, while historically the "new-issue machine" takes a while to get rolling, said Scott Diamond, co-head of AM Municipal Fixed Income at Goldman Sachs.