Municipal New Issuance: With the Thanksgiving holiday last week, many issues sat on the sidelines as the negotiated calendar had a total volume of about $582 million with the largest deal being the $125 million Trimble County of Kentucky issuance. AmeriVet participated on one deal last week as a Selling-Group-Member which was the $30 million New Hampshire Housing and Finance Authority issuance.

Municipal Secondary Trading: With the Thanksgiving holiday on Thursday and an early close on Friday, secondary trading totaled to roughly $28.2 billion for the week with about 54% of trades being dealer sells. With the shortened trading week, clients put up only $3.43 billion up for the bid according to Bloomberg, with the largest volume of bids-wanted being on Tuesday.

Municipal Spreads: With the holiday shortened week, munis continued to rally with 10-year notes falling by 9.6 basis points to end the week at 2.95%. This marks the fourth week in row in which we saw yields fall giving us hope to avoid four straight down-months. With the continued rally in munis, we continue to see munis outperform Treasuries as 10-year notes are now yielding 67.01% of Treasuries compared to 69.41% a week ago. We did see the muni curve steepen this past week by .21 basis points to finish the week at 91 basis points.

For the 11^th consecutive week in a row, municipal bond funds saw investors pull their investments out of their funds to the sum of $292 million according to LSEG Lipper Global Fund Flows data. This loss follows the prior week’s outflow of $235 million.

The November muni rally continues as month-to-date returns are now at 4.68%, pushing us further into positive territory for the year as year-to-date returns now stand at 2.35%. At the start of the month, munis were down 2.22% for the year and there was some talk that we could end the year negatively for the second consecutive year. This appears to be averted as the last time we had a down December was back in 2013, which munis were down just .26%. Since November 1^st, muni yields have fallen an average of 63 basis points across the curve, giving us one of the strongest month to date returns for the year.

Municipal Supply: For the last week of November, the negotiated calendar will have an expected volume of about $6.65 billion with the largest deals being the $1.5 billion New York Transportation Development Corporation issuance, followed by the $575 million Los Angeles Community College District issuance. AmeriVet will be in be in two issues this week as a Selling-Group-Member which will be the $109 million State of New York Mortgage Agency issuance consisting of $62 million in tax-exempt bonds and $37 million in taxable bonds. AmeriVet will also be participating on the Maryland Department of Housing and Community Development deal which is expected to issue $14 million.