Investments

Shortening duration, buying premium bonds, and minimizing risk are three paths municipal managers are taking as the second half of 2014 gets under way in anticipation of higher interest rates.

Short-term patch of the Highway Trust Fund is credit positive for $12 billion of state highway Garvee bonds, Moody's says. But neither it nor other major rating agencies are planning to change Garvee ratings or outlooks.

Illinois' current fiscal strains pose a threat to the credits of state's public universities that rely heavily on state subsidies, Standard & Poor's warns in a new report.

A slew of bond-related bills was introduced in the House and Senate in the last few days before members of Congress left town to begin their five-week recess.

A water main break that resulted in the release of an estimated 20 million gallons of water, flooding Westside Los Angeles neighborhoods and the University of California-Los Angeles campus, is reflective of problems cities across the country face as they grapple with aging infrastructures.

NEW JERSEY

ALABAMA

Volume will inch up slightly from last week but remain relatively sparse as an estimated $5.81 billion makes its way to market, led by a $575 million Illinois Finance Authority revenue sale and a Rhode Island Tobacco Settlement Financing Corp. offering.

The Sixth Circuit Court agreed to postpone hearings on a series of appeals on the city's eligibility to enter into Chapter 9 after a group of labor creditors in the Detroit bankruptcy and the city asked for the delay.

Inflows for all municipal bond funds fell off slightly this week from last week, but still remain fairly strong.

The Senate keeps transportation dollars flowing with for at least 10 months with last-minute approval of the House's $11 billion highway fund bailout.

ARKANSAS

ARKANSAS

The Bond Buyer's muni bond indexes were mixed in the week ending July 31.

The House rejected the Senate's amendments to its $10.8 billion, 10-month bailout of the Highway Trust Fund on Thursday afternoon and sent its original bill back to the Senate.

ARKANSAS

CALIFORNIA

Moody's Investors Service revised the Illinois Institute of Technology's outlook to stable, easing pressure on the rating that is at the lowest investment grade level.

Moody's Investors Service on Wednesday released proposed changes in its rating methodology for 1,100 municipal utilities that it said would only result in rating changes, split between upgrades and downgrades, for less than 10% of them.

A year after Detroit filed for bankruptcy, the city's decision to put pensioners above bondholders has created an uncertain recovery environment for the entire muni sector, according to Standard & Poor's.