Municipal Market Weekly Update

Two Taxes on Income: Washington and Inflation

• Munis struggle in long end
• Income Is back as an inflation defense
• Impact of Fed curve policy

Active Making its Case for Munis

• Munis outperform on long end
• Active vs. Passive
• Volatility creates opportunity

Tax-Free Rallies Past UST

• Muni in control
• Exempts resist treasury levitation
• Munis as a buffer zone

Munis Get Back to Historical Business

• Mixed performance
• Curve continues to normalize
• Municipal credit quality

The Muni Market Just Got More Interesting

• Valuations reset, creating more attractive entry points
• Higher starting yields
• Municipal credit quality

Calendar Throws Wrench in Muni Winning

• Munis underperform on the week
• Market getting more prescriptive
• What are advisors getting wrong?

Half-Time Assessment

• Technicals driving municipal forces
• Taking score at half-time
• Are there spots the market is mispricing risk?

Taking Assessment Mid-Year

• Municipals value comes back into focus
• First half by the numbers
• How should investors think about quality?

Threat of Rate Hikes Phases Munis Little

• Municipals weather fed meeting
• Relative value is back
• Investor mistakes

Munis Shrug Off Rate Hike Threats

• Municipals take a step backwards
• Has the market already priced the next fed move?
• Investor mistakes

Munis Are a Credit Market at Heart…

• Municipals outperform again
• Sometimes the answer is just spread
• Allocating to munis

Muni Buyers Take Second Bite at Yield Apple

• Municipals outperform on the week
• A second bite at the tax-exempt apple
• Munis with cross-over appeal

Unpacking Alternative Minimum Tax (AMT)

• Muni rates move higher with treasuries
• Demystifying alternative minimum tax
• Sitting in cash still a pain point

High Tax vs National Debate Rages On

• Rates rally on week, munis trail slightly
• Why going national isn’t a given
• Eyeing munis in different cycles

Parsing Through the Data on Wealth Tax Initiatives

• Municipals underperform on the week
• State-level “millionaire taxes” expand; wealth taxes remain tail risk
• Seasonal supply and demand