News and Information from Bond Buyer

The U.S. services sector expanded at a slower pace in December as the non-manufacturing business activity composite index was 55.3 in the month, compared to 55.9 in November, on a seasonally adjusted basis, the Institute for Supply Management reported Wednesday.

Municipals were strengthening in early activity, according to traders, with yields on some maturities weakening by as much as five basis points.

Private-sector employment increased by 257,000 in December, on a seasonally adjusted basis, ADP reported Wednesday.

Jan. 6, 2016 Midwest: Plain/Insured GO Yield Curve* State Ratings One-Year Five-Year 10-Year 30-Year Illinois Baa1/A+/BBB+ 1.95 2.93 3.59 4.47 Indiana Aaa/AAA/AA+ 0.5 1.29 1.99 2.89 Iowa Aaa/AAA/AAA 0.5 1.3 1.99 2.89 Michigan Aa2/AA/AA 0.54 1.36 2.1 3.02 Minnesota Aa1/AA+/AA+ 0.51 1.25 1.91 2.81 Missouri Aaa/AAA/AAA 0.5 1.22 1.88 2.78 Nebraska NR/AAA/NR 0.5 1.31 2.04 2.97 North Dakota Aa1/AA+/NR 0.53 1.36 2.07 2.97 Ohio Aa1/AA+/AA+ 0.52 1.3 2.02 2.95 South Dakota NR/AA+/AA+ 0.54 1.35 2.07 2.99 Wisconsin Aa2/AA/AA 0.53 1.3 2.04 2.92

1/5/2016 12/29/2015 State # Iss Amount ($000) # Iss Amount ($000) Chg in Amt ($000s) Illinois 11 $657,790 5 $62,390 $595,400 Indiana 1 33,660 0 0 33,660 Iowa 2 8,380 2 8,380 0 Michigan 16 225,775 8 70,855 154,920 Minnesota 23 530,105 20 415,925 114,180 Missouri 9 66,130 8 43,795 22,335 Nebraska 0 0 0 0 0 North Dakota 0 0 0 0 0 Ohio 0 0 0 0 0 South Dakota 0 0 0 0 0 Wisconsin 15 412,840 12 394,485 18,355

Wednesday, January 6 Issuer St Description Amount

Wednesday, January 6 Issuer St Description Amount

Week Of January 4 Issuer St Description Amount

Week Of January 4 Issuer St Description Amount

KENTUCKY

MISSOURI

Ambac Assurance Corp. paid out $10.3 million to cover an insured portion of the $36 million that the Puerto Rico Infrastructure Finance Authority defaulted on Monday.

Government

Two House Natural Resources Committee panels will hold hearings on Puerto Rico this month to discuss the possibility of energy reform and federal oversight for the ailing commonwealth, according to a committee spokesperson.

Illinois Gov. Bruce Rauner’s task force on local government consolidation and unfunded mandates offered 27 recommendations to streamline government operations.

Pennsylvania phased out its 172-year-old capital stock and foreign franchise tax, with Gov. Tom Wolf calling it “an unfair tax on business” that he was committed to eliminating.

Bondholders are expected to weigh litigation against intensified negotiations with Puerto Rico this month, after the commonwealth missed $37 million of debt payments.

Municipal bonds finished unchanged to stronger on Tuesday, according to traders, as yields on some top-quality bonds were off by as much as four basis points.

New York Gov. Andrew Cuomo is proposing a third set of tracks on the Long Island Rail Road main line, saying it would address the region's infrastructure challenges while also generating an economic boost.

The National Football League confirmed that the Oakland Raiders, St. Louis Rams and the San Diego Chargers all submitted applications to relocate to the Los Angeles area.