The tax-exempt market posted losses for a fourth consecutive trading session as some of the largest deals of the week in the primary came with concessions and secondary bid-ask spreads widened.
In the primary market, dealers had to raise yields to entice buyers, but one New Jersey trader said yields are still too low, especially compared with secondary market transactions. “I don’t like the new issues,” he said. “They aren’t cheap enough yet. I thought they would be cheaper.”