The municipal market was unchanged to slightly weaker yesterday. Traders said tax-exempt yields were flat to higher by about two basis points overall."There's not a ton trading at this point, but we are cheapening up a bit," a trader in New York said. "We're definitely seeing a little bit of weakness out there, particularly in the more intermediate maturities. We're probably down a good two basis points on the whole, maybe a bit more in spots."

"It feels a little weaker, but I'm not sure there are enough people in the market, enough trades going on to really move the scale," a trader in Los Angeles said. "It feels pretty quiet, and the tone is definitely weaker, but I'd tend to say we're more unchanged, with a weaker tone, than actually off. At most, we're off a basis point or two, but again, I think I'd lean more towards unchanged, just because it's so quiet."

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