Get up to speed with the public finance market in a minute with our curated collection of news articles.
Municipal Bonds Rally after UK Quits EU (Paywall)
“I expect business as usual for munis after the dust of today’s rally settles. Despite a reset to lower yields, next week’s new issue calendar should see the same strong demand experienced in recent weeks, with mutual fund inflows continuing in future weeks.”
“Stocks on major world markets fell and benchmark U.S. government bond yields hit all-time lows on Tuesday as worries about Britain’s exit from the European Union pushed sterling to a fresh 31-year low, triggering a scramble for the safest and most liquid assets.”
The Wall Street Journal has gathered a list of investment opportunities where investors can still find gains, while managing risk, for the second half of the year.
With depressed yields and the potential for rising interest rates to devalue bonds, Nasdaq reminds us that one solution is to build a bond ladder.
“About $1 billion in general obligation and commonwealth-guaranteed debt was due Friday, according to a written statement from the Government Development Bank for Puerto Rico and the Puerto Rico Fiscal Agency and Financial Advisory Authority. After the day was over the government would still owe over $800 million of this, the statement said. These statements indicated payment of somewhere between $100 million and $200 million of this debt on Friday.”