NEW YORK — The week’s new inventory can’t seem to reach the muni market fast enough. One trader in Florida said there is little product anywhere. “There are fewer bonds than usual,” he said. “It’s hard to find anything to sink your teeth into.”
Muni yields have been following Treasuries lower. But they aren’t too low for the market to absorb the new volume, wrote Tom Kozlik, a muni credit analyst for Janney Capital Markets.