Fixed income

Democrats on the House Ways and Means Committee announced a new bill that would restore the power of applying tariffs back to Congress amidst accusations of market manipulation and political ineptitude by the Trump administration.

Some analysts believe that the muni market will ultimately be insulated from any changes in tax status because of the benefit it already provides.

The rising costs of federal debt, an impending budget showdown, and Congressional turmoil is highlighting the complex relationship between Treasury securities and municipal bonds.

State and local governments are on strong financial footing and are investing in Treasury securities as chaotic federal moves shake out.

Economic forecasts include the possibility of higher inflation and slower growth that could stall future cuts to the federal fund rates.

Louis English joined Janney Montgomery Scott as managing director and head of municipal sales in the fixed-income division, based out of the Chicago office.

Taxable munis have returned 1.48% month to date and 0.29% year-to-date while investment-grade munis have seen 0.44% returns so far in March and 0.05% year-to-date. USTs are in the black at 1.43% so far this month but returning -1.76% year-to-date while corporate bonds are returning 1.24% in March but -0.46% year-to-date.

Triple-A scales saw yields rise 10 to 13 basis points following a second day of UST losses as muni investors await a robust new-issue calendar.