The Utah Transit Authority came to market yesterday with $261.5 million of taxable Build America Bond, and the Phoenix Civic Improvement Corp. priced $540.3 million of tax-exempt debt, as market participants focused on new issuance and yields in the secondary market declined slightly.

Morgan Stanley priced the BABs, which mature in 2039, yielding 5.94%, priced at par, or approximately 3.86% including the federal subsidy. These bonds were priced at 185 basis points over the comparable Treasury yield, and feature a make-whole call at the Treasury rate plus 30 basis points. The bonds are rated Aa3 by Moody's Investors Service, AAA by Standard & Poor's, and AA by Fitch Ratings.

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