Miami-Dade County plans to sell about $540 million of bonds in today's largest scheduled offering of fixed-rate debt among U.S. state and local governments.
The deal to refinance debt for the county-owned Miami International Airport, with more direct service to the Caribbean and Latin America than any other U.S. airport, will be managed by Morgan Stanley. The sale arrives a day after lower-rated Puerto Rico shelved an offering that was to include a $600 million refinancing.
Investors are demanding higher yields to lend money to municipal borrowers for longer, driving the difference in rates between top-rated two- and 30-year tax-exempt bonds to the widest in almost 18 months, according to Municipal Market Advisors. Credit-market losses at the Wall Street banks that underwrite, trade and invest in municipal bonds as well as the insurers who guarantee them have brought back demand concerns that weighed on the market three months ago.
``Some of the same liquidity issues that cropped up in late July, early August are back in play,'' said Clark Stamper of Stamper Capital & Investments Inc. in Corona Del Mar, California. ``No one's bidding because they're all trying to figure out what to do.''
Average mid-market yields rose 1 basis point on two-year general obligation debt and 3 basis points on 30-year bonds yesterday, widening the gap between the two benchmark maturities to 116 basis points. A basis point is 0.01 percentage point.
smallcap-review.com
Подписаться на:
Комментарии к сообщению (Atom)
Комментариев нет:
Отправить комментарий