Buy side

Citigroup said in an interview the sell-off in tobacco bonds caused by Bill Gross' departure from PIMCO will be short lived.

The Thornburg Limited Term Municipal Fund began with just $12 million of total assets under management and 30 years later has grown to $6.8 billion.

Managers say the uptick in volume in recent weeks has helped them diversity clients' portfolios, lowering their exposure to losses from unforeseen calamities.

A $1.1 billion Texas Transportation Commission will lead the activity in the primary market and usher in the fourth quarter as this week's largest deal -- even while volume is forecasted to decline from last week's recent high of over $8 billion.

Triet Nguyen is starting as a managing director at NewOak on Monday.

Taxable municipal bond sales surged to a five-month high in the past week, attracting yield-hungry investors as tax free spreads tighten.

The weekly average yield to maturity of the Bond Buyer Municipal Bond Index, which is based on 40 long-term bond prices, fell four basis points the week of Sept. 25 to 4.42%.

Green muni bond underwriters are stepping up marketing, with a focus on retail clients, as they compete for a share of the fledgling market.

Municipal managers say they're continuing to shield their clients' municipal assets from higher rates even though the timing of a rate hike remains uncertain and some are beginning to doubt rates will spike in the near term.

As spreads on bonds from the recent Detroit Water and Sewer, Chicago Water and Chicago Wastewater deals tighten, some analysts warn these credits might not be as safe as investors think.

As the issuance of green municipal bonds climbs this week, the bonds performance in the secondary market shows mixed results.

Volume is expected to edge up for the second week in a row as over $7 billion is predicted to arrive in the primary market, anchored by a pair of billion-dollar deals from New York and California.

Sophisticated investors are grabbing for high-yield municipal debt whenever they can find it, creating demand for alternatives beyond the Puerto Rico, Detroit, and tobacco bonds that dominate the non-investment grade segment of the secondary market.

Foreign investors' buildup in U.S. municipal bond holdings has heightened significance in the current low-supply high-demand market environment, in which an emerging group of buyers could cause competition for the limited amount of bonds available to spike.

Inflows to municipal bond funds dropped by 58% in the week ending Sept. 17.

The weekly average yield to maturity of the Bond Buyer Municipal Bond Index, which is based on 40 long-term bond prices, was unchanged the week of Sept. 18 at 4.46%.

Moments after Janney Capital Markets cited "cracks" in the foundation of state credit quality nationwide, Pennsylvania said it would have to loan money to itself to keep running.

Municipal bond fund managers are finding they can stand out from the competition and lure new investors by taking advantage of this year's flood of green bonds.

Standard & Poor's has put the ratings of two double-A level not-for-profit health systems in Illinois, Advocate and NorthShore, on Credit Watch with positive credit implications following their announcement to join forces.

A $481 million San Francisco Airport Commission sale will lead the activity in the primary market this week as part of an estimated $6 billion of new-issue volume - the highest estimated volume in almost three months.