S&P Global Ratings said it has lowered its rating on certain Puerto Rico Public Buildings Authority's bonds, as well as on the Puerto Rico Industrial, Tourist, Educational, Medical and Environmental Control Facilities Financing Authority's series 2011A bonds, to D (default) from CC following a default on payment of debt service on July 1.
There wasn't any one factor driving the muni market's weaker performance, FHN's Ajay Thomas said. But investors had a lot of deals from which to choose.
The potential timing for a water supply emergency, which had been projected for December, was pushed nine months into the future with the help of rainfall.
The BB-plus rated borrowing comes as high-yield supply remains strong in the muni market.
The state's leading Democrats are divided on the benefits of California's proposed billionaire's tax
"It's hard to know whether a decrease in enforcement is a statistical blip or early evidence of [a] meeker, milder FINRA in the current era," said Benjamin Edwards, an associate dean at UNLV law school.
Debt proceeds are earmarked for renovations to the university's football stadium, as well as for student housing, parking and other athletic projects.
