Market Commentaries

U.S. Downgrade Domino Threat

August 2011

The prevailing August municipal bond market story was the threat posed by the U.S. rating downgrade. The improving state tax situation and the search for better yields also led municipal bond market news in the past month.Wholesale municipal rating dow …


Mid-Year Municipal Credit Update

July 2011

In this commentary, we will summarize where municipal credit quality has been, where we believe it is today, and what our clients should expect over the near term investment horizon. The municipal market began the year with a tumultuous first quarter, …


The End Is Near

May 2011

What Will it Mean to Municipal Bonds in 2011 and Beyond? As the economy expands, it is becoming clearer that we are nearing the end of the “easy money” policy that the Federal Reserve has pursued over the past few years. So what can we expect once the …


Calmer, Bullish Municipal Market: Opportunities Amongst Problems

May 2011

Municipal bond prices continued their upward move during May resulting in lower yields across the maturity spectrum at month end. A calmer tone to our marketplace has set in over the past two months as much of the selling hysteria earlier in the year h …


Municipal Bond Supply & Demand Imbalance

April 2011

The municipal bond market through the first three months of 2011 was particularly choppy, culminating in March with one of the most muddled trading environments we’ve experienced in quite some time. To discuss March’s performance, it’s important to exa …


“A Bond Market In Turmoil” Municipal Market Update

January 2011

Michelle Bernardi Landis summarizes the key points of the President’s Letter below. There have been many news stories recently regarding the municipal bond market and its impending debt crisis. Most of them have been unnerving and intimidating. Ma …


Municipal Market Attractive for Some, Challenging for Others

January 2011

Municipal bond yields ended the month at higher levels than where they began the month, resulting in a negative monthly total return number for most portfolios. This decline in portfolio value was more pronounced on higher duration portfolios and bond …


Continuing Municipal Bond Market Volatility

December 2010

Volatility in the municipal market was significant during the last quarter and we expect it to continue into the foreseeable future. The fourth quarter of 2010 was brutal period for total return oriented municipal bond investors. The Barclays Capital M …


Municipal Bond Market Volatility

November 2010

Municipal bond prices endured a considerable sell off during the month of November, before showing a rebound leading up to the Thanksgiving holiday. Four factors are key to understanding this volatility:Treasury weakness. Pronounced weakness in the Tre …


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 BOND MARKET COMMENTARY

October 2010

Municipal bond prices declined in October continuing September’s price slide. Bond yields in the 10 year range increased slightly, approximately 4-5 basis points during the month. Recent elevated bond issuance levels coupled with waning demand should p …


MUNICIPAL BOND MARKET COMMENTARY

September 2010

Municipal bond prices declined and yields increased during the month as the powerful bond market rally of the last several months subsided. This trend translated, generally, into negative monthly performance for most municipal bond investors. New issue …


Market Commentary (MUNICIPAL BOND MARKET UPDATE)

August 2010

Municipal bond prices continued their move upward during the month translating into lower yields on new issues and current market offerrings. The bond price rally has been powerful over the last three months resulting in month end municipal bond yield …


Market Commentary

August 2010

In response to the slowing recovery, the Federal Reserve announced yesterday that it would use yet another weapon in its arsenal to keep the economy from slipping back into recession. In addition to repeating its outlook of the last 17 months, that wea …


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 …