Bonds

Municipals saw small losses ahead of a larger new-issue calendar, while U.S. Treasuries were stronger up front and weaker out long after the jobs report came in lower than expected, as data continued to send the markets mixed signals on the economy’s health. Triple-A benchmarks rose up to three basis points, while USTs saw yields

Chicago will deliver its 2024 budget forecast in mid-September after a series of public roundtable meetings this month that, along with a newly delivered transition report, will help shape Mayor Brandon Johnson’s first budget. Recommendations on pension funding fixes from a Johnson-appointed working group also could influence the budget as the panel readies initial proposals

The Puerto Rico Energy Bureau approved the Puerto Rico Electric Power Authority transfer of $12.8 million to AES-Puerto Rico to help shore up the company, which on June 1 defaulted on municipal bonds.  The bureau voted 4-1 on Wednesday to release money in a PREPA escrow account to AES with the condition it is only

Despite wide expectations for declining revenues, big-ticket tax cuts were on the agenda in state legislatures across the Northeast during the most recent budget negotiation periods. With a slowdown in economic activity expected going into fiscal 2024 after a strong post-COVID rebound, almost every state in the region passed or is still negotiating tax cuts

To run a municipality in 2023 means preparing for constant cyberattacks.  Cyberattacks have become “an everyday phenomenon” for municipalities, said Omid Rahmani, associate director of public finance at Fitch Ratings. “This problem is not going to get better. In the short term, it’s going to get worse before it gets better.” Moody’s Investors Service found

New York State Common Retirement Fund’s investment return was negative 4.14% for the state’s fiscal year that ended March 31, said state Comptroller Thomas DiNapoli. The fund is valued at $248.5 billion. The fund’s returns reflect retirement and death benefits of $14.7 billion, which were paid during the fiscal year. For the prior fiscal year,

The Biden administration has advanced a $6.88 billion grant for the bistate Hudson Tunnel project, marking the largest federal transportation grant in history and moving the long-awaited project into the next phase of construction. “We have to do this quickly because these are hundred-year-old tunnels,” Sen. Chuck Schumer, D-N.Y., the project’s chief Congressional cheerleader, said

The Federal Reserve needs to raise interest rates a bit further to rein in an inflation rate that’s too high, monetary expert John Taylor said. “They’ve had a big adjustment over the last couple of years,” the Stanford University professor told a webinar hosted by the American Council for Capital Formation on Thursday, adding, “I

Municipals cheapened across the yield curve Thursday, but outperformed U.S. Treasuries which sold off after better-than-anticipated payrolls numbers, leading the two- and 10-year to the highest levels since March. Equities ended down. Municipals could not ignore the large losses in USTs, though the July reinvestment dollars and lack of new-issue supply worked to stave off

Federal Reserve Bank of Dallas President Lorie Logan said more interest-rate increases will likely be needed to spur meaningful disinflation and bring price-growth rates back to the central bank’s target. “I remain very concerned about whether inflation will return to target in a sustainable and timely way,” Logan said Thursday in remarks delivered at the

Most Michigan local governments are spending their federal pandemic aid on capital projects, while facing challenges from rising project costs and uncertainty about future funding. A new survey from the University of Michigan’s Center for Local, State, and Urban Policy shows that 80% of the state’s larger local governments reported problems with inflation and other

Hawaii lawmakers prioritized spending to bolster programs to aid its poorest residents and house homeless people in the $37.2 billion biennium operating budget signed by Gov. Josh Green last week. Homelessness has become such a widespread and entrenched problem in Western states that lawmakers are dedicating billions of dollars to help lessen it. It has

Fitch Ratings lifted Cleveland’s issuer rating into the double-A category over its growing reserves and income tax collections despite the impact of remote work refunds.    Fitch rates just a small piece of the city’s general obligation debt but it’s now on par with Moody’s Investors Service and S&P Global Ratings in rating the city

San Francisco had its outlook revised to negative by Moody’s Investors Service, with analysts pointing to the financial and economic headwinds facing the city. The city maintained a stable financial performance throughout the pandemic, but now anticipates reserve draws from fiscal 2023 through 2025, Moody’s analysts said. It also projects out-year deficits through 2028, although

Chicago Mayor Brandon Johnson tapped state banking regulator Chasse Rehwinkel to fill the city comptroller’s position, a choice that completes his picks for the city’s top fiscal posts. The comptroller manages the collection or disbursement of city revenues and all funds required to be in the custody of the city treasurer.  The chief financial officer, budget director,

Municipals were little changed Wednesday as U.S. Treasuries were weaker after the release of the Federal Open Market Committee meeting minutes showed more tightening is likely on the way. Equities were in the red to close the session. The secondary was uneven but triple-A yield curves were mostly steady, as municipals are wont to do

Investment losses last year eroded funding ratio gains achieved a year earlier by Chicago’s pension system, casting a shadow over a healthy pickup of taxes on the city’s audited financial results. The city’s overall net position for accounting purposes deteriorated to negative $27.6 billion in 2022 from negative $27.1 billion in 2021 due to growth

Federal Reserve officials were less united at their June meeting than their unanimous decision suggested, as some favored interest-rate increases but went along with the move to leave policy unchanged. “Almost all participants judged it appropriate or acceptable to maintain the target range for the federal funds rate at 5% to 5.25%,” minutes from the