In the News:

•  The Fed’s target interest rate level remains unchanged at 5.25% – 5.50% after the most recent FOMC meeting this week.
• Concerning the future path of interest rates and recent inflation data in the US, Powell stated [these] “haven’t really changed the overall story, which is that of inflation moving down gradually on a sometimes bumpy road toward 2%.”  Expectations of the first rate cut this year now center around the June 2024 meeting.
• Stocks rallied this week around optimism that the fed will be successful in orchestrating a soft landing for the US economy, pushing the S&P 500 towards its 20th record level this year.

Rate Indices:

Definitions:

• BVAL AAA Curve = Bloomberg Valuation Service’s real-time and contributed sources tracking movement in the Municipal market.
• BBI = Bond Buyer Index; a weekly index of municipal bond prices created by the Chicago Board of Trade and published by The Bond Buyer.
• RBI = Revenue Bond Index; a weekly index of interest rates on revenue bonds.
• 10-Year TSY = Yield of the 10-year U.S. Treasury on a constant maturity basis.
  
• SOFR Index = An extension of the Secured Overnight Financing Rate (SOFR), it measures the cumulative impact of compounding the SOFR on a unit of investment over time (i.e. One Year).
• Fed Funds Rate = Set by the Federal Open Market Committee, it guides overnight lending between U.S. banks.
  

*30 Day Visible Supply based on Bloomberg Fixed Rate municipal calendars.  Excludes accreted value of capital appreciation bonds and short-term notes.  Prior to March 7, 2005, values calculated using full calendar history.

Source: Bloomberg – Rates as of 03/21/24

Resources:
EMMA New Issue Calendar
FRED Economic Calendar
Ehlers’ Upcoming Bond Sales & Recent Sale Results

Important Disclosures:

Ehlers is the joint marketing name of the following affiliated businesses (collectively, the “Affiliates”): Ehlers & Associates, Inc. (“EA”), a municipal advisor registered with the Municipal Securities Rulemaking Board (“MSRB”) and the Securities and Exchange Commission (“SEC”); Ehlers Investment Partners, LLC (“EIP”), an investment adviser registered with the SEC; and Bond Trust Services Corporation (“BTS”), holder of a limited banking charter issued by the State of Minnesota.

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