Consumer sentiment index

Triple-A municipal benchmark yield curves were bumped one to two basis points, lagging a four basis point rally in U.S. Treasuries after weaker consumer sentiment and dovish comments from Fed officials moved equities lower.

After facing outside economic data pressures and rising U.S. Treasuries, municipals ended the week on solid footing ahead of a larger calendar with newly upgraded Connecticut leading with $1 billion of exempt and taxable GOs.

Data released Tuesday show an improving economy, which continues to stoke fears of impending inflation. Muni investors await New Jersey's $1.57 billion transportation deal.

Municipals largely ignored the moves to higher yields in U.S. Treasuries as participants await the largest new-issue calendar of 2021 and big-name deals out of New York and Illinois.

The COVID-19 pandemic threw the economy into disarray, creating uncertainty in so many areas, and economists still don’t agree on the future of inflation. But they agree the Fed will need to adjust when the economy starts to improve.

It is most certainly an issuers' market as rates are low, credit spreads continue to tighten, money pours into municipal bond mutual funds at record levels and a net negative supply of more than $11 billion.

Friday’s data showed economic weakness. Consumers, the drivers of the economy, pulled back during the holiday season and have exhibited weakening sentiment.

Increases in producer and consumer prices on an annual basis, with a 0.3-point gain compared to last year may be a signal inflation will emerge and might force the Federal Reserve to act, economists said.

Bullard addresses coronavirus and the economy, University of Michigan consumer expectations drop.

Personal income increased 0.9% in September after a 2.5% decline in August, the Commerce Department reported Friday, while personal consumption grew 1.2% after a 0.7% gain in August.

The economic news Friday was mostly positive, with consumers spending on clothes, cars and eating out, while manufacturing continues to suffer.

Federal Reserve Board Chair Jerome Powell announced the group's new policy framework, but didn't explain why it would work.

Friday's batch of economic indicators offered some bright spots and some dark.

Without a return of inflation, rate hikes are off the table, according to Charles Evans, president of the Federal Reserve Bank of Chicago.

An infrastructure plan is a likelihood, in some form, since members of both parties favor it.

Pessimism about the economic situation in the United States continues to affect the way consumers view the economy and their financial position.

The Commerce Department reported that new orders for manufactured durable goods fell 14.4% in March while the University of Michigan’s consumer sentiment index dropped to 71.8 in April, the largest monthly decline on record.

Consumer sentiment fell in March, with the final reading 89.1, its lowest since October 2016, down from 95.9 in the preliminary read.

With many economic indicators released Friday, the main takeaway is gross domestic product will struggle.

An economic slowdown was expected in 2019, and the data prove the prediction was correct. Now softening consumer spending could portend the need for the Federal Reserve to ease policy at some point.