Bond volume

Issuance year-to-date is at $386.689 billion, up 14.9% from $336.478 billion over the same period in 2024.

Dan Hartman of PFM attributed the drop to fewer prepaid gas deals, one-time large transactions last year like Jefferson County's and normal timing variations.

Municipal bond insurance volume grew 12.6% in the first half of 2025 year-over-year, according to LSEG data.

Electric power bond issuance was up 47.8% and educatron issuance was up 31.6% from the first half of 2024.

The market saw elevated issuance, with an average of $10 billion to $12 billion of supply per week.

This is the fourth consecutive month where issuance has topped $50 billion.

Year-to-date volume stands at $310.166 billion, up 17.4% from $264.151 billion at the same time last year, prompting several firms to revisit their supply projections for the year.

The growth of the muni market comes as issuance surges, with the first half of the year seeing $280.64 billion of supply, up 14.3% year-over-year, according to LSEG.

Issuance this year has been "relentless" since the start of the year, while historically the "new-issue machine" takes a while to get rolling, said Scott Diamond, co-head of AM Municipal Fixed Income at Goldman Sachs.

The top five May bond financings totaled more than $5 billion.