Market Commentaries

2012 Mid-Year Municipal Market & Credit Update

August 2012

It’s important to frame the developments in the broader financial markets over the last six to twelve months before discussing the municipal market’s continued ability to absorb issuer-specific credit events. Roughly a year ago, the United States’ trip …


Some perspective on the recent California bankruptcies

July 2012

There have been three municipalities that have either filed or have voted to approve filing bankruptcy in California in the past year: Stockton, Mammoth Lakes and most recently, San Bernardino. Stockton and San Bernardino went bankrupt due to the “usua …


Municipal Bondholders 1, Jefferson County Newspeak 0

June 2012

Score one for bondholders. A federal judge ruled in June that Jefferson County, Alabama could not reduce debt payments while in bankruptcy in order to spend more of the system’s net operating revenues on its aging sewage system. County’s Orwe …


Treasuries Continue to Rally, Municipal Bonds Less Affected

May 2012

Renewed questions as to the health of the European Economic Union coupled with news of slowing growth in China, India and here at home sparked a strong rally in the Treasury market this past month. Treasuries rally more pronounced While this …


“Intercalary” February: An Extra Day of Bond News

February 2012

Leap Year means 29 days in February 2012, so there is an extra day of bond news this month.New issue supply remained modest, demand strongThe new issue supply of municipal bonds remained fairly modest in February and investor demand remained strong dur …


Bond Rally Continues

January 2012

The bond market’s powerful December rally continued unabated into the first month of the year. Bond yields declined to near historic lows in both the U.S. Treasury and municipal bond sectors. The 10-year Treasury yield fell to 1.80% on January 31st ver …


Credit Research Matters More Than Ever

November 2010

As Bernardi Securities, Inc. begins its 27th year, we are acutely aware of the importance of understanding the credit quality of the municipal bond issues we recommend to our clients. We have long believed the bond portfolio research and management pro …


Municipal Market Update

July 2010

In this video briefing, Ronald Bernardi summarizes the key points of the market update below.The three prevailing bond market themes during the first half of 2010 were alternately annoying and unnervingly consistent:1.   Annoyingly low, nominal yi …


“The Cost of Waiting”

May 2010

In recent months, we have often heard the refrain from investors, “I’m just going to wait until interest rates rise.” and, in fact, many investors are waiting for Federal Reserve policy makers to raise interest rates before committing money to the bond …


“Build America Bond Story”

February 2010

In this two-part video briefing, Ronald Bernardi summarizes the key points of the President’s Letter below. The 2009 municipal bond market was much kinder and gentler than the 2008 version and, as a result, some investors are falling back into the …