In the News:
- The Next FOMC Meeting is Wednesday, March 22, 2023 with a 53.1% probability of a 25 basis point rate hike according to CME Group Fed Watch Tool.
- Chair Powell’s comments this week indicate an even greater likelihood of aggressive Fed action to bring inflation back to acceptable levels.
Nonfarm payrolls rose by 311,000 in February, greater than the consensus estimate of 225,000. However, the unemployment rate increased slightly more than expected to 3.6%, and average hourly earnings increased 4.6% year-over-year, less than expected.
- BVAL AAA Curve = Bloomberg Valuation Service’s real-time and contributed sources tracking movement in the Municipal market.
- BBI = Bond Buyer Index; a daily 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 = 10-Year Treasury index tracking the yield of U.S. Treasury Securities. It is closely watched as an indicator of broader investor confidence.
- 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 Markets 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 2/23/23
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