Washington

Outflows continued, with Refinitiv Lipper reporting investors shed $1.503 billion from municipal bond mutual funds in the week, following outflows of $2.136 billion in the previous week. High-yield saw small inflows.

Senate Banking Chair Sherrod Brown said Thursday he expects a Senate vote next week to confirm President Biden’s Federal Reserve nominees, though the timing may be affected by GOP opposition to Lisa Cook, who would be the first Black woman on the Board of Governors.

The triple-A 10-year yield is above 2% on all scales, the highest since March 2020.

Scott Colbert, executive vice president and chief economist at Commerce Trust Co., will discuss the Federal Reserve's monetary policy decision and where they go from here.

Elements of the Securities and Exchange Commission’s climate disclosure proposal may influence the Municipal Securities Rulemaking Board as it considers more specific rules for the municipal bond market.

Muni performance has been strong as of late, and spreads have actually corrected after a month of gradual widening.

The Internal Revenue Service will permanently allow TEFRA hearings to be held remotely.

Next week's potential volume is slated to be $7.7 billion. The largest deal of the week comes from New York City with $891 million of tax-exempt general obligation bonds. Recent New York paper traded up Friday.

The MSRB has issued a warning that with the rise in interest rates in recent months, bonds trading at a discount may be less liquid than those trading at par.

The U.S. Federal Reserve will need to raise interest rates higher than officials are currently projecting if it is to wrestle inflation back under control, former U.S. Treasury Secretary Lawrence Summers said.