Washington

In March 2020, spreads skyrocketed to 97 basis points before dropping slightly to 88 basis points in April 2020.

The request for a second municipal lending facility was made in a bipartisan letter sent to the Fed last week by four senators.

The MSRB also said more municipalities have begun referencing CARES Act loans in their disclosures.

With rates near zero, analysts will turn to minutes of the latest FOMC minutes for signs of upcoming economic support.

Federal Reserve Chairman Jerome Powell said the central bank is prepared to use its full range of tools and leave the benchmark lending rate near zero until the economy is back on track.

Kent Hiteshew, who was recently hired by the Fed to help with the municipal market, said the Municipal Liquidity Facility opened Monday.

The co-chair of the House Municipal Finance Caucus also predicted the cost of the $3 trillion HEROES Act will be negotiated downward.

The Federal Reserve opened the door to participating in a competitive bidding process for short-term notes, a requirement in Illinois law.

The Federal Reserve chair says it may take a while, but the U.S. economy will get back where it was before the coronavirus pandemic.

Uncertainty and volatility have caused a bifurcated market when it comes to credit, and widespread disparity between high-quality and high-yield is complicating matters for issuers.