Municipal benchmark yields rose by as much as five basis points Friday, following a stronger-than-expected jobs report, but the asset class outperformed the moves in Treasury bonds. An increase in supply next week may test current low levels. Continued strength in the economy was seen as nonfarm payrolls rose 943,000 and the jobless rate fell to 5.4% last month, the
Labor Department reported. “The dollar is surging following a better-than-expected nonfarm payroll report, which may have paved the way for the Fed to announce tapering if the economy delivers one more robust report in September,” said Ed Moya, senior market analyst for the Americas at OANDA.
Source: Bond Buyer.
