Securitization

It's no surprise that munis are in a "holding pattern," Charles Schwab's Cooper Howard said, as investors are eager to hear Fed Chair Kevin Warsh's speech on Friday.

Muni market participants are "asking a lot of questions" ahead of Fed Chair Kevin Warsh's speech at the Jackson Hole retreat, said James Pruskowski, managing director at Hennion & Walsh.

Despite the mounting uncertainty facing muni and UST markets, muni yields are "generationally attractive," according to Tom Kozlik of HilltopSecurities.

USTs have been boosted by the U.S. government's announcement of sanctions against Iran. Munis seem to be taking the news well, NewSquare Capital's Kim Olsan said, but the asset class has its own news to focus on.

August may have one of the highest tax-exempt volume totals on record, according to J.P. Morgan analysts — don't expect it to let up.

Munis are beginning to see headwinds and mixed technicals as a strong summer winds down, according to Municipal Market Analytics' Kevin McGuigan.

After a weak two days, munis are turning around thanks to strength in USTs, said Chad Farrington of DWS.

Munis are experiencing a correction driven by high issuance and misaligned muni-UST ratios, according to Kim Olsan of NewSquare Capital. However, investors seem interested in the new, higher yields.

Lighter market activity is customary for a Monday, SWBC's Chris Brigati said, especially as issuers prepare to price $15 billion.

The coming week will be a record week for AMT offerings, according to J.P. Morgan strategists. They caution against chasing spreads tighter.

The muni market is in the "doldrums of August," SWBC's Chris Brigati said.

Munis are in a holding pattern, NewSquare Capital's Kim Olsan said, and they're likely to remain so until the next FOMC meeting.

Electronic trading brings science to the art of municipal bond investing, one portfolio manager says. 

Munis are in a summer lull, waiting to see if CPI data will prompt the FOMC to hike rates, according to Cooper Howard, director of fixed income strategy at Schwab.

The markets are in a "holding pattern" as they wait for news on the Strait of Hormuz and Fed policy, FHN Financial's Ajay Thomas said.

This week, issuance falls to an estimated $9.651 billion, with $6.611 billion of negotiated deals on tap and $3.04 billion of competitives, according to LSEG.

The payroll data lowered fears of a rate hike, boosting munis and USTs.

Geopolitical and macroeconomic factors are hurting USTs, but the muni market still has momentum, said Hennion & Walsh's James Pruskowski.

News of negotiations with Iran, a strong backdrop from USTs and meaningful tax-equivalent yields are helping the market digest the "deal deluge," according to NewSquare Capital's Kim Olsan.

Muni yields are still higher than they were in June, said Patrick Luby of CreditSights, so investors were happy to put redemption money to work