Financial Advisor Magazine

U.S. Muni Bond Sales Fall

U.S. states, cities, school districts and other borrowers in the $3.8 trillion municipal bond market are selling less debt this year, with issuance dropping 13.1 percent to $210.7 billion through July 31 versus the same period last year.

The drop has been driven by plummeting refunding volumes, which dominated the issuance calendar last year. Refinancings are down 25 percent by par amount, while new money issuance is up by 7.3 percent, Thomson Reuters data show.