Muni bond Thursday update: 10-year yield decreases
A look at the AP Municipal Bond Index for Thursday, Oct. 12:
BIGGEST MOVER: 10-year bonds. Yield decreased 4 basis points over the last week to 2.30 percent.
TWO-YEAR: Yield decreased less than a basis point to 1.08 percent. The two-year/10-year spread is 122 basis points, down from 124 basis points a week ago. The two-year/30-year spread is 180 basis points, up from 178 basis points a week ago.
10-YEAR: Yield decreased 2 basis points to 2.30 percent, compared with 2.33 percent for a 10-year Treasury. The gap between 10-year municipal bonds and Treasurys has been widening over the last week. It was 1 basis point on Oct. 5. The 10-year/30-year spread for municipal bonds is 58 basis points.
30-YEAR: Yield dropped by 1 basis point to 2.88 percent, compared with 2.86 percent for a 30-year Treasury.
AP created this story using data from Municipal Bond Information Services and the U.S. Department of the Treasury. Learn more about the AP Municipal Bond Index at http://mbis.com/