The focus in the municipal bond market Thursday was on New York as several issuers sold big deals in the competitive arena.
The New York City Municipal Water Finance Authority sold $475 million of bonds in two sales.
Jefferies won the $275 million of Fiscal 2018 Series DD Subseries DD-1 water and sewer system second general resolution revenue bonds with a true interest cost of 4.0157%.
Morgan Stanley won the $200 million of Fiscal 2018 Series DD Subseries DD-2 water and sewer system second general resolution revenue bonds with a TIC of 3.7401%.
New York State sold $215.23 million of bonds in three sales.
Wells Fargo Securities won the $167.06 million of Series 2018A tax-exempt general obligation bonds with a TIC of 2.1039%.
Piper Jaffray won the $36.82 million of Series 2018B taxable GOs with a TIC of 3.0514%.
And UBS won the $11.35 million pf Series 2018C tax-exempt GO refunding bonds with a TIC of 2.0573%.
Thursday’s bond sales
Bond Buyer 30-day visible supply at $8.71B
The Bond Buyer's 30-day visible supply calendar decreased $3.36 billion to $8.71 billion on Thursday. The total is comprised of $5.03 billion of competitive sales and $3.69 billion of negotiated deals.
ICI: Long-term muni funds see $112M inflow
Long-term municipal bond funds saw an inflow of $112 million in the week ended Feb. 28, the Investment Company Institute reported on Wednesday.
This followed an inflow of $481 million into the tax-exempt mutual funds in the week ended Feb. 21 and outflows of $640 million in the week ended Feb. 14 and $588 million in the week ended Feb. 7 and an inflow of $1.84 billion in the week ended Jan. 31.
Taxable bond funds saw estimated inflows of $5.08 billion in the latest reporting week, after experiencing inflows of $3.97 billion in the previous week.
ICI said the total estimated inflows to all long-term mutual funds and exchange-traded funds were $16.75 billion for the week ended Feb. 28.
Tax-exempt money market funds saw outflows
Tax-exempt money market funds experienced outflows of $1.61 billion, lowering total net assets to $135.99 billion in the week ended March 6, according to The Money Fund Report, a service of iMoneyNet.com. This followed an outflow of $306.6 million on to $137.60 billion in the previous week.
The average, seven-day simple yield for the 198 weekly reporting tax-exempt funds increased to 0.64% from 0.63% the previous week.
The total net assets of the 830 weekly reporting taxable money funds decreased $2.64 billion to $2.677 trillion in the week ended March 7, after an inflow of $14.20 billion to $2.679 trillion the week before.
The average, seven-day simple yield for the taxable money funds increased to 1.06% from 1.04% from the prior week.
Overall, the combined total net assets of the 1,028 weekly reporting money funds decreased $4.24 billion to $2.813 trillion in the week ended March 7, after inflows of $13.89 billion to $2.817 trillion in the prior week.
Previous session's activity
The Municipal Securities Rulemaking Board reported 44,109 trades on Wednesday on volume of $14.15 billion.
California, New York and Texas were the states with the most trades, with the Golden State taking 19.019% of the market, the Empire State taking 9.152% and the Lone Star State taking 7.96%.
Treasury announces next week’s sales
The Treasury Department Thursday announced these auctions:
- $21 billion of 29-year 11-month bonds selling on March 13;
- $21 billion of nine-year 11-month notes selling on March 12;
- $28 billion of three-year notes selling on March 12;
- $45 billion of 182-day bills selling on March 12; and
- $51 billion 91-day bills selling on March 12.
Gary Siegel contributed to this report.
Data appearing in this article from Municipal Bond Information Services, including the MBIS municipal bond index, is available on The Bond Buyer Data Workstation. Click here for a brief tour of the Workstation, or contact Vanessa Kim at 212-803-8474 for more information.