The last of the week’s big municipal bond deals came to market on Thursday as municipals wavered in mid-session trade.

Primary market
Citigroup priced the Los Angeles Community College District’s $350 million tax-exempts consisting of Series J 2008 election general obligation bonds and Series A-1 2016 election GOs.

The $300 million of Series J GOs were priced to yield from 1% with a 2% coupon in 2018 to 2.90% with a 4% coupon in 2039; a 2041 maturity was priced as 4s to yield 2.94%.

The $50 million of Series A-1 GOs were priced as 2s to yield 1% in a 2018 bullet maturity.

The deal is rated Aa1 and MIG1 by Moody’s Investors Service and AA-plus by S&P Global Ratings.

Since 2007, the Los Angeles CCD has sold about $5.9 billion of debt with the most issuance occurring in 2014 when it sold $1.8 billion. The district did not come to market in 2011 or 2012.

JPMorgan Securities received the written award on the San Diego Association of Governments' $194.14 million of Series 2017A toll revenue first senior lien bonds for the South Bay Expressway.

The issue was priced to yield from 1.02% with a 4% coupon in 2018 to 2.69% with a 5% coupon in 2038; a 2042 maturity was priced as 5s to yield 2.72%.

The deal is rated A by S&P and A-minus by Fitch Ratings.

Bond Buyer reports 30-day visible supply
The Bond Buyer`s 30-day visible supply calendar decreased $2.84 billion to $6.17 billion on Thursday. The total is comprised of $3.01 billion of competitive sales and $3.16 billion of negotiated deals.

Secondary market
The yield on the 10-year benchmark muni general obligation rose as much as one basis point from 1.91% on Wednesday, while the 30-year GO yield gained as much as two basis points from 2.58%, according to a read of Municipal Market Data`s triple-A scale.

U.S. Treasuries were narrowly mixed on Thursday. The yield on the two-year Treasury was unchanged from 1.64%, the 10-year Treasury yield was flat from 2.32% and the yield on the 30-year Treasury increased to 2.81% from 2.78%.

On Wednesday, the 10-year muni-to-Treasury ratio was calculated at 82.3% compared with 83.3% on Tuesday, while the 30-year muni-to-Treasury ratio stood at 92.7% versus 93.9%, according to MMD.

AP-MBIS 10-year muni at 2.227%, 30-year at 2.745%
The Associated Press-MBIS municipal non-callable 5% GO benchmark scale was mixed at midday.

The 10-year muni benchmark yield fell to 2.227% on Thursday from the final read of 2.231% on Wednesday, according to Municipal Bond Information Services, a national consortium of municipal interdealer brokers. The AP-MBIS 30-year benchmark muni yield rose to 2.745% from 2.744%.

The AP-MBIS benchmark index is a yield curve built on market data aggregated from MBIS member firms and is updated hourly on the Bond Buyer Data Workstation.

MSRB: Previous session`s activity
The Municipal Securities Rulemaking Board reported 38,112 trades on Wednesday on volume of $13.33 billion.

Tax-exempt money market funds see inflows
Tax-exempt money market funds experienced inflows of $1.03 billion, raising total net assets to $129.24 billion in the week ended Nov. 6, according to The Money Fund Report, a service of iMoneyNet.com.

This followed an outflow of $133.1 million to $128.20 billion in the previous week.

The average, seven-day simple yield for the 199 weekly reporting tax-exempt funds slipped to 0.47% from 0.48% the previous week.

The total net assets of the 833 weekly reporting taxable money funds increased $553.9 million to $2.581 trillion in the week ended Nov. 7, after an outflow of $9.12 billion to $2.580 trillion the week before.

The average, seven-day simple yield for the taxable money funds was unchanged at 0.70% from the prior week.

Overall, the combined total net assets of the 1,032 weekly reporting money funds increased $1.59 billion to $2.710 trillion in the week ended Nov. 7, after inflows of $9.25 billion to $2.708 trillion in the prior week.

Data appearing in this article from Municipal Bond Information Services, including the AP-MBIS municipal bond index, is available on the Bond Buyer Data Workstation. Click here for a brief tour of the Workstation, or contact Vanessa Kim at 212-803-8474 for more information.

Subscribe Now

Independent and authoritative analysis and perspective for the bond buying industry.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.
Chip Barnett

Chip Barnett

Chip Barnett is a journalist with more than 40 years of experience. Barnett is currently Senior Market Reporter for The Bond Buyer.
Aaron Weitzman

Aaron Weitzman

Aaron Weitzman is a markets reporter for The Bond Buyer, focusing on the sell side of the municipal bond market.