Markets

The U.S. third quarter current account deficit narrowed sharply to $100.6 billion from $124.4 billion.

The pace of housing starts posted a surprise 3.3% gain to a 1.297 million seasonally adjusted annual rate in November, well ahead of expectations for a 1.250 million pace.

Market experts see less municipal bond volume next year, far fewer bank loans, new buyers of bonds, and more volatility if the tax bill is enacted as expected.

In an unusually busy Monday, municipal bond issuers tried to beat the clock and complete sales ahead of the impending tax reform.

The Railsplitter Tobacco Settlement Authority will price a $679 million current and advance refunding of tobacco bonds.

Approval of the tax reform bill led the Florida Development Finance Corp. to cancel its Monday meeting to approve a deal for the train project.

A limited tax base and heavy legacy obligations have hamstrung the city, according to the rating agency.

Now that the uncertainty of tax legislation and how it relates to munis is gone, market participants can focus on the upcoming calendar — as it will most likely be the last big supply week for a while, with Christmas and New Year’s right around the corner.

The primary market is set for yet another week of hyperactivity as issuers make one final push to get advance refundings done before they disappear.

Colorado and its private partners on redevelopment of a 10-mile section of Interstate 70 are in the market with $116.9 million of PABs.