The Treasury Department yesterday auctioned $8 billion of four-week bills at a 4.590% high yield, a price of 99.643000.
The coupon equivalent was 4.683%. The bid-to-cover ratio was 3.68. Tenders at the high rate were allotted 16.54%. The median yield was 4.575%. The low yield was 4.550%. The bills have an issue date of May 3 and are due May 31.
Tenders totaled $29,414,990,000 and the Treasury accepted $8,000,115,000, including $408,800,000 of noncompetitive.
"In our view, the worst for munis is behind us, at least for now; tax-exempts might continue to outperform, but only to a degree as technicals will remain somewhat challenging," Barclays strategists said.
"I'm worried about rates," muni market strategist Vikram Rai said during a webinar Thursday.
The Chicago City Council passed Mayor Brandon Johnson's green affordable housing plan, to be seeded with $135 million from 2024's $1.25 billion bond ordinance.
Public power energy providers are moving forward with using elective pay to boost investment in nuclear energy while electrifying small town and rural areas.
The state's legislative analyst's office expects revenues for the fiscal 2025-26 budget year to be $7.8 billion lower than estimated in January.
The municipal bond market may soon get its first glimpse of hotly anticipated tax legislation.
