Denver Transit Bucks Build Americas Yield Trend: Muni Credit
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Denver’s Regional Transportation District, which runs the Colorado capital’s mass-transit system, took advantage of pledged sales-tax revenue to win the lowest borrowing cost of the week’s five largest Build America Bonds.
The transit agency’s $300 million borrowing, rated third-highest by Moody’s Investors Service at Aa2, the same as three of the biggest issues, paid the least amount of extra yield above 30-year Treasuries, according to data compiled by Bloomberg. The sale came amid a supply surplus that drove the average yield to an almost four-month high.