Public finance

A pair of large water deals will flood the primary market with nearly $1 billion this week as part of more than $6 billion in total new volume that is expected to be priced on the heels of last week's market firmness.

Federal, state and local departments of transportation have so far obligated $7 billion in federal highway funds during fiscal year 2013, a 56% increase over the same period last year, according to a new report from the American Road & Transportation Builders Association.

Amidst concerns among market participants of a 'great rotation' out of fixed income into equities, Barclays strategists released a report Thursday assessing whether this might happen in the muni market.

Table as of: 02/14/2013 13:34 PM Invisible Supply Issuer and purpose Amount

COLORADO

ALABAMA

Municipal buyers gave their blessing to bankrupt AMR Corp. and US Airways Group Inc.'s $11 billion marriage by ascribing near to full value to American's unsecured tax-exempt debt traded Thursday.

The municipal bond market recorded a solid week of inflows to mutual funds, at $490 million, breaking a four-week string of dwindling demand.

All The Bond Buyer's weekly yield indexes increased the week ended Feb. 14.

Several major airport credits could be negatively affected by operational shifts in the wake of the US Airways/American Airlines Merger, officially announced Thursday.

Moody's Investors Service gave the states a negative outlook for the sixth consecutive year, noting employment and tax revenue growth are still uneven.

Tax-exempt money market funds suffered losses for the fifth consecutive week as $2.40 billion escaped the industry in the week ended Feb. 11 and total net assets finished with $280.07 billion, according to The Money Fund Report, a service of iMoneyNet.com.

Public finance officials and infrastructure investors need to stop talking about "the deal" and start managing political risks with clear, easily understood language, participants at a U.S. Chamber of Commerce panel said Wednesday.

ALABAMA

ALABAMA

Market participants say munis are key to reaching the infrastructure goals laid out in President Obama's State of the Union Address, but caution that cuts to munis' tax benefits could make it difficult to fund the large-scale projects Obama described.

Transportation and business leaders on Wednesday discussed controversial solutions for funding American infrastructure, including Build America Bonds, gasoline tax increases, and wider use of tolling.

In a report, Moody's Investors Service outlined the risks associated with bank support agreements to which some municipal issuers are exposed.

Table as of: 02/12/2013 14:53 PM Invisible Supply Issuer and purpose Amount

ARKANSAS