Perspectives & News

Evercore Wealth Management Comments on Chicago Bond Sale: The Wall Street Journal

May 16, 2012

Chicago's $287 million tax-exempt municipal bond sale was met with some resistance, Howard Cure told the Wall Street Journal. But it remains unclear whether buyers were reacting to low yields overall or simply thought that the city priced its bonds too high.

Cure is the Director of Municipal Bond Research at Evercore Wealth Management.

"The last number of months, it's been a good market for issuers, particularly ones that are a little more vulnerable," said he said, adding that it is still too early to say if this is a trend.

Chicago was forced to offer concessions to investors to complete a $287 million tax-exempt municipal bond sale, The Wall Street Journal reported, increasing yields by as much as 11 basis points.