Tender rates for the Treasury Department’s latest 91-day and 182-day discount bills were lower yesterday, as the three-months incurred a 2.370% high rate, down from 3.080% the week before, and the six-months incurred a 2.400% high rate, down from 2.950% . Coupon equivalents were 2.424% and 2.470%, respectively. The price for the 91s was 99.400917 and that for the 182s was 98.786667.
In her first public appearance since President Trump moved to fire her from the Federal Reserve Board of Governors, Fed Gov. Lisa Cook reiterated her commitment to bringing inflation under 2% and said that the labor market remains "solid."
"Normalized supply, a supportive rate environment and favorable technicals propelled the municipal market to the best October performance [in decades]," said Robert J. Lind.
Attorneys for the Archdiocese said it is "inevitable" bondholders will be hit with a cramdown.
Meanwhile, the Brightline West train project has floated a possible debt exchange ahead of its own mandatory redemption later this month.
Pennsylvania's budget impasse has surpassed four months. Local governments and schools that rely on state funds are getting frustrated.
Next week's issuance is slated to be "substantial" — an estimated $13.1 billion — although that is expected to be met with "solid" November reinvestment capital, J.P. Morgan strategists said.
