Markets

In this Market Intelligence analysis, Jeff Lipton warns that granting states access to Chapter 9 would be deeply disruptive, likely forcing muni yields higher and liquidity lower, while underscoring why states' legal protections and reserves still support strong willingness to pay.

Minnesota Community Energy priced $803 million of prepaid gas bonds after a delay driven by volatility from the Iran war.

"A lot of the perception is the Iran situation and energy and everything else is temporary, so if municipal yields are higher, let's take advantage of it," said Pat Luby, head of municipal strategy at CreditSights.

If "we get another day of this, that will help the markets continue to trade in a better place," said Jock Wright, an underwriter at Raymond James.

The HOME deal is being priced through the Philadelphia Redevelopment Authority, but carries ratings on par with the city's issuer ratings.

"We're still seeing continued yield pressure out there from the market outlook investors have with the conflict in Iran," said Ajay Thomas, head of public finance at FHN Financial.

The Senate approved the ROAD to Housing Act which will raise the public welfare investment cap, a move that should increase bond issuance.

Allowing tax-exempt bonds to remain outstanding during a long-term concession would lower financing costs, advocates say.

The market is navigating volatility driven by geopolitical issues, which has led to trouble for certain deals.

The March/April period is typically a softer period for the muni market, said Jeff Timlin, managing partner and head of municipal bond investing at Sage Advisory.