Tax-exempt bonds weakened along the curve Tuesday, erasing much of the modest rally seen late last week. But while secondary bids were soft, new-issue pricing was firm to strong.

“There were a number of deals, so it was an active day in the muni market,” a trader in New York said. “New bonds were really well-received.”

Subscribe Now

Independent and authoritative analysis and perspective for the bond buying industry.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.