Public finance

Mount Saint Mary College in New York saw its bond rating downgraded to BBB from BBB-plus by Fitch Ratings after persistent declines in student enrollment.

"The forward calendar shows issuance will be above average over the next few weeks, while reinvestment cash is set to drop off," Birch Creek strategists said.

Agency cites growing debt levels and midrange demographic and economic factors.

The Fed's expected September rate cut will "make market conditions more conducive to moving projects forward" said Dodge Construction Network's chief economist Richard Branch.

The data comes from a new MSRB study, on a topic related to a 2023 report.

Ohio's Eastern Gateway Community College has entered into conservatorship and will dissolve and close after a litany of problems and financial red flags.

The purpose of restructuring is to help the Pennsylvania hospital operator "avoid a bankruptcy scenario," said Dora Lee of Belle Haven Investments.

The calendar next week largely continues "the elevated pace of primary market volume seen since May, against a backdrop of broadly supportive fund flows (LSEG inflows for eight consecutive weeks), somewhat better dealer positions (although still heavy), mid-August reinvestment to spend, but lighter late summer attendance," said J.P. Morgan strategists led by Peter DeGroot.

New facilities should reduce and ultimately eliminate the authority's current $5 million a month operating loss.

A state-by-state review of 2024 midyear issuance in the Far West.

Along with the influx of supply, the muni market remains "constructive" due to attractive yields, said Catherine Stienstra, head of municipal bond investments at Columbia Threadneedle Investments.

The bonds, expected to be rated Aa2 by Moody's, will will be among the earliest general obligation bonds sold by Kentucky school districts since the state passed a law in April allowing such debt by school districts.

New Jersey is poised to sell up to $2.4 billion of bonds for its transportation infrastructure, according to a report from Fitch Ratings. 

A state-by-state review of 2024 midyear issuance in the Southeast.

The region's municipal bond volume grew by 42.4%, outpacing the nationwide 32% increase in a first-half marked by gas prepay deals and Brightline's big sale.

All eyes are on Jackson Hole and Fed Chairman Jerome Powell's speech this week, noted Cooper Howard, a fixed-income strategist at Charles Schwab.

Charter school bond issuance have leveled off as issuers consider labels and alternative structures.

The rating agency estimated the cost of college and university capital needs at $750 billion to $950 billion over the next decade.

"Fed watchers will be parsing Powell's comments for signs that a 50bp rate cut is on the table for September," noted Lauren Saidel-Baker, an economist with ITR Economics. "However, the notoriously tight-lipped chair is unlikely to confirm this, making a 25bp cut the most likely outcome."

The National Association of Bond Lawyers will give out two separate awards to Rep. Dutch Ruppersberger and longtime muni lawyer David Cholst, for their contributions to the organization and industry over the last four decades.