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Markets Climb as Fed Shifts

Kevin Warsh’s Senate Banking Committee confirmation hearing for Federal Reserve Chair on April 21 placed the central bank’s upcoming leadership

April 2026 Monthly Bond Market Review

Recent economic data point to moderating growth alongside rising inflation pressures, as the U.S.-Israeli military campaign against Iran that began

Geopolitics Shape Markets, Fed Watch

Geopolitical headlines continue to materially impact market sentiment, and the latest news flow has been constructive. Israel and Lebanon agreed

March 2026 Monthly Bond Market Review

February economic data continued to reflect the measured disinflationary progression that has characterized conditions throughout the post-pandemic normalization cycle, with

Oil Spike, Fed Meeting Ahead

The conflict with Iran remained the primary driver of market sentiment this week. Oil prices spiked as global supplies remained

State of the Municipal Bond Market

Financial markets have suffered tremendous volatility in the wake of the COVID-19 pandemic, and the $3.9 trillion municipal market is no exception. After a strong 2019 and healthy January and February 2020, the municipal market suffered investor panic in March with the dramatic impact of the coronavirus and widespread lockdowns. Credit spreads widened as investors sold off high quality assets to raise liquidity. The municipal market is much smaller and typically less liquid than taxable bond markets; as such, this lack of liquidity was exacerbated by volatile market conditions. Nevertheless, the Coronavirus Aid, Relief and Economic Security (CARES) Act and the Federal Reserve stimulus programs have helped the municipal market return to some semblance of normalcy. Municipalities are suffering significant revenue shortfalls as economic growth falters and the economy has come to a standstill during the stay at home order. The risk of downgrades has increased, but the sector has been historically safe and resilient, and defaults have been extremely rare. Most state statutes and public entity investment policies permit the purchase of municipal securities, and the asset class provides an opportunity to diversify portfolios. However, investors must proceed cautiously, and credit analysis is more critical than ever.

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