Municipal bond deals stall as yields reach highest level since 2011

municipal bonds: Municipal bonds are debt securities issued by states, cities, counties, and other public entities to finance infrastructure and public services. In the reported development, state and local borrowers are delaying or reconsidering new offerings as sharply higher yields make financing more expensive and market conditions less favorable. Issuance delays: The Los Angeles Convention Center bond sale was delayed and placed on a day-to-day schedule, illustrating how volatile market conditions are disrupting planned municipal financings. Market conditions: Benchmark long-term municipal-bond yields recently rose to their highest levels since at least 2011, reflecting a broader fixed-income selloff, higher Treasury yields, and heavy new issuance. Investor environment: Recent market commentary describes municipal-bond yields as having reached unusually attractive multi-year levels, even as the selloff has pressured existing bond prices and discouraged some new borrowers from issuing debt.