| Aug. 21, 2014 | |||||
| Southeast: Plain/Insured GO Yield Curve* | |||||
| State | Ratings | One-Year | Five-Year | 10-Year | 30-Year |
|---|---|---|---|---|---|
| Alabama | Aa1/AA/AA+ | 0.11 | 1.12 | 2.2 | 3.25 |
| Florida | Aa1/AAA/AAA | 0.11 | 1.17 | 2.24 | 3.31 |
| Georgia | Aaa/AAA/AAA | 0.11 | 1.12 | 2.12 | 3.13 |
| Kentucky | Aa2/AA+/AA | 0.13 | 1.22 | 2.32 | 3.36 |
| Louisiana | Aa2/AA/AA | 0.12 | 1.2 | 2.28 | 3.3 |
| Mississippi | Aa2/AA/AA+ | 0.13 | 1.21 | 2.3 | 3.32 |
| North Carolina | Aaa/AAA/AAA | 0.11 | 1.12 | 2.11 | 3.12 |
| South Carolina | Aaa/AA+/AAA | 0.11 | 1.13 | 2.15 | 3.16 |
| Tennessee | Aaa/AA+/AAA | 0.11 | 1.12 | 2.15 | 3.15 |
| Virginia | Aaa/AAA/AAA | 0.11 | 1.11 | 2.1 | 3.11 |
| West Virginia | Aa1/AA/AA | 0.12 | 1.21 | 2.3 | 3.34 |
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Munis are entering a negative feedback loop, according to J.P. Morgan analysts led by Peter DeGroot.
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Credit ratings for California utilities could face downward pressure as recurring wildfire risks test safety funds and strain balance sheets.
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"In a few years, Brightline may have to consider going through something like this again," warned one investor.
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Bondholders and Assured Guaranty are providing substantial funding in post-petition and post-bankruptcy packages to keep the project operating.
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GASB has issued updated questions and answers designed to clarify how subsidies relate to operating revenue, an important distinction affecting higher education, and transportation entities.
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Ahead of a refinancing next week and a new money deal next month, Chicago's spreads have widened, suggesting the market may be pricing in a downgrade, analysts said.
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