The Bond Buyer

New tariff threats by President-elect Donald Trump would likely impact state and local government finance, economists and analysts say, though exactly how remains unknown. The greatest impact of the proposed tariffs, or retaliation from other countries, would be to resource-rich states and those dependent on trade with Canada and Mexico, according to Fitch Ratings. https://bit.ly/49yRmB3

"We welcome the MSRB's concept release on municipal fund securities and the Board's consideration of updating the way these securities are regulated," said Michel Decker, Bond Dealers of America. "BDA will review the release and comment as appropriate."

North Carolina should focus on its moderate levels of unfunded liabilities and high levels of unfunded health plan liabilities, said treasurer-elect Brad Briner.

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Curious what the biggest news in the public finance markets was in November? The Bond Buyer's monthly roundup of pressing topics for last month includes expert predictions following Donald Trump's reelection, SEC involvement in muni disclosures and more. #financialmarkets

Today’s top stories include: Tax-exemption the only wrinkle in muni issuance prospects; More mediation ordered for PREPA; North Carolina’s next treasurer wants to go light on bond sales; MSRB may revise rules for 529 plans; and munis lose ground as inflow streak ends. #municipalbonds #muniland

"At this juncture I don't foresee any material credit deterioration," said Jeff Devine, municipal research analyst at GW&K Investment Management.

"We're still in a world where there are some days where munis can outperform or underperform, but when the trend starts to be two or three days of negative Treasury yields, then it's just natural to see cuts," said Invesco's Mark Paris.

The cohort members — which include Newark, Atlantic City, Paterson, Irvington, Salem, Trenton, Pleasantville, Union City and Weehawken — have lowered their deficit spending and strengthened their pension contributions, according to the report.

"One of the primary drivers of expected sustained elevated levels of volume in 2025 is the broad-based nature of the surge in 2024's supply," noted J.P. Morgan's Peter DeGroot. Record tax-exempt issuance this year did not come from a "massive increase" in supply from one or two sectors, but rather a broad-based elevation across sectors and types of issuance.