Municipal bond traders will see the last of the week's big deals come to market on Thursday, led by an airport deal from San Francisco.
Secondary Market
Treasuries were narrowly mixed on Thursday. The yield on the two-year Treasury was unchanged from 0.75% on Tuesday, the 10-year Treasury yield rose to 1.71% from 1.69% and the yield on the 30-year Treasury bond increased to 2.48% from 2.44%.
Top-quality municipal bonds finished mixed on Wednesday. The yield on the 10-year benchmark muni general obligation fell one basis point to 1.56% from 1.57% on Tuesday, while the yield on the 30-year was unchanged from 2.28%, according to the final read of Municipal Market Data's triple-A scale.
The 10-year muni to Treasury ratio was calculated at 92.4% on Wednesday compared to 90.6% on Tuesday, while the 30-year muni to Treasury ratio stood at 93.3% versus 92.4%, according to MMD.
MSRB: Previous Session's Activity
The Municipal Securities Rulemaking Board reported 39,919 trades on Wednesday on volume of $17.16 billion.
Primary Market
Goldman Sachs is set to price the San Francisco Airport Commission's $881.73 million of Series 2016B second series revenue bonds subject to the alternative minimum tax, Series 2016C non-AMT governmental purpose and refunding bonds and Series 2016D non-AMT governmental purpose bonds.
Since 2006, the airport commission of the city and county of San Francisco has sold about $7.47 billion of debt, with the largest issuance occurring in 2008 when it sold about $1.5 billion. The commission did not sell any bonds in 2007 or 2015.
Ziegler is expected to price the Tarrant County Cultural Education Facilities Finance Corp.'s $120.03 million of Series 2016 retirement facility revenue bonds for the Air Force Village Obligated Group.
Morgan Stanley is set to price the Board of Trustees of the University of Illinois's $116.14 million of refunding certificates of participation.
Barclays Capital is expected to price the Illinois Finance Authority's $113.61 million of Series 2016 revenue bonds for the OSF Healthcare System.
Bond Buyer Visible Supply
The Bond Buyer's 30-day visible supply calendar decreased $3.46 billion to $12.29 billion on Thursday. The total is comprised of $2.75 billion of competitive sales and $9.54 billion of negotiated deals.
Tax-Exempt Money Market Fund Outflows
Tax-exempt money market funds experienced outflows of $5.27 billion, bringing total net assets to $145.06 billion in the week ended Sept 12, according to The Money Fund Report, a service of iMoneyNet.com. This followed an outflow of $2.57 billion to $150.33 billion in the previous week.
The average, seven-day simple yield for the 254 weekly reporting tax-exempt funds rose to 0.18% from 0.16% in the previous week.
The total net assets of the 888 weekly reporting taxable money funds increased $13.91 billion to $2.527 trillion in the week ended Sept. 13, after an outflow of $42.80 billion to $2.513 trillion the prior before.
The average, seven-day simple yield for the taxable money funds remained at 0.11% from the week before.
Overall, the combined total net assets of the 1,142 weekly reporting money funds rose $8.64 billion to $2.672 trillion in the period ended Sept. 13, which followed an outflow of $45.38 billion to $2.664 trillion.
