NEW YORK — Caution reigns in the municipal market Monday amid the fallout of the Standard & Poor’s downgrade of the United States’ credit rating. The market awaits the rating agency’s assessment of muni securities closely tied to federal government spending.

But for muni investors, low nominal yields and light issuance remain its guiding forces, a trader in Chicago said. And while Treasury yields rally and muni yields continue to firm at the long end, uncertainty and caution have so far led to a quiet day of trading in the secondary.

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