Original article by Caitlin Devitt and Kathie O’Donnell
Wesly Pate, Senior Portfolio Manager, offered Debtwire Municipals his fall 2020 forecast for the municipal bond market as fundamentals began to weaken in early September. Wesly explained that the US municipal liquidity facility program speaks to the fact that federal government does not want to see a material downturn in municipal credit profiles. However, he noted that the outcomes of the presidential and Congressional elections do not represent significant headwinds or tailwinds in November, as record-low rates make federal tax policy less relevant than it has been to the muni market in the past.
