News and Information from Bond Buyer

Hawaii's $1 billion general obligation sale, the biggest deal of the week, met with high demand in retail pricing Wednesday, even though traders said some of the bonds were unusually pricey.

More investment is needed in U.S. transportation infrastructure to ensure all systems are connected to each other, Vice President Joe Biden said Wednesday.

Moody's Investors Service downgraded McLean County School District Number 87 in Bloomington, Ill. one notch to Aa2 as it prepares to come to market with a $20 million new money and refunding issue.

Fitch Ratings has downgraded the rating to AA-minus from AA on the St. Petersburg Health Facilities Authority, Fla., $63.6 million, series 2009A bonds issued on behalf of All Children's Hospital (ACH).

An issuer has publicly disclosed its agreement to participate the Municipalities Continuing Disclosure Cooperation initiative, a decision several bond lawyers said could be a major misstep.

Moody's Investors Service said it has upgraded to Baa3 from Ba1 the rating on the city of Burlington, Vt.'s $43 million airport revenue bonds.

Harrisburg, Pa., has begun advertising for a consulting firm to help lead the city's long-range comprehensive plan.

Standard & Poor's Ratings Services said it has raised its rating on Freehold Regional High School District, N.J.'s general obligation debt outstanding to AA-plus from AA based on the district's improved financial position.

Moody's Investors Service has downgraded Iowa-based Algona Municipal Utility's electric revenue bonds by one level to Baa1 over its fiscal struggles.

Louisiana prices the first of two GO bond deals Thursday with unanswered questions about the state budget, but MMA director Matt Fabian says the issue is unlikely to impact pricing because of the state's strong legal protections for bondholders.

Arizona voters approved more than $2 billion of bonds in the Nov. 4 election, with most of the proposals winning by a comfortable margin, according to official results.

The city of Spokane, Wash. is planning to sell $175 million of green bonds next week to help fund some of the city's environmental projects.

The Treasury Department auctioned $24 billion of 10-year notes with a 2 1/4% coupon at a 2.365% high yield, a price of 98.981554.

The federal judge overseeing Detroit's bankruptcy has ordered mediation to resolve a dispute over the city's legal bills, which total $140 million and are climbing.

There will be retail appetite for the $379.6 million New York City Municipal Water Finance Authority water and sewer system resolution revenue bonds during their retail order period on Wednesday even though retail brushed off the New York City Transition Finance Authority bonds last week, traders said.

The Treasury Department Wednesday auctioned $25 billion of 364-day bills at a 0.140% high yield, a price of 99.858444.

The Treasury Department Wednesday auctioned $40 billion of four-week bills at a 0.045% high yield, a price of 99.996500.

Most public pension funds assume rates of return inconsistent with their portfolio allocations and many invest heavily in low-yield assets such as fixed income and real estate, said a Pioneer Institute study.

Wholesale inventories increased 0.3% in September, the Commerce Department reported Wednesday. Wholesale sales grew 0.2%.

After a day off from trading on Tuesday because of Veterans Day, the market is back in full swing on Wednesday morning, strengthening soon after it opened, and the largest deal of the week is scheduled for retail orders.