Market Update: Municipal bond yields decreased during the third quarter with AAA 5-year, 10-year, and 20-year yields falling 10, 25, and 21 basis points, respectively. In mid-September, the Federal Reserve reaffirmed its view to maintain the target range for the federal funds rate of 0.00% – 0.25%. As a result of the Fed announcement, the futures market is pricing in a fifty-percent chance that the first rate hike will not occur until March of next year.

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