Washington

John Hallacy of John Hallacy Consulting LLC sits down with Chip Barnett to talk about what the municipal bond market will face in 2022. He discusses inflation, new issuance volume, and the future of infrastructure this year amid the lingering effects of COVID and Omicron. (19 minutes)

Munis are expected to underperform for another few weeks as markets remain volatile and investors reevaluate allocations.

Enacting the muni market agenda through Build Back Better remains the top choice, but FY22 spending bills also present an opportunity, said the GFOA's lobbyist.

Acting director for the SEC Office of Municipal Securities Ernesto Lanza spoke about issuer disclosure and Rule 15c2-12, the Commission’s relationship with the MSRB and its efforts improving market transparency.

Why are markets so sanguine about the interest rate outlook? The answer lies in the Fed’s balance sheet, and in particular the level of excess reserves placed there by commercial banks.

The combination of steady supply, heavy secondary selling and inconsistent demand have moved yields to their highest levels since May 2020.

The bulk of the IIJA money will flow first to the states, so cities need to be organized and ready to work with governors, White House Infrastructure Coordinator Mitch Landrieu told the U.S. Conference of Mayors.

In the near term, federal aid is sitting on balance sheets ready to be deployed if some of the downside economic risks become reality, experts say.

Joe Biden's comments about splitting up Build Back Better into separate bills represents a new opportunity for muni advocates to push for the inclusion of key priorities.

Groups believe that the draft compliance resources contain some useful information, though they could be construed as creating new compliance requirements.