California Raises Yield to 3.57% on 20-Year Bond Offering
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California was forced to raise yields on some longer bond maturities to complete a $2.1 billion general-obligation sale, the state’s first debt offering since Standard & Poor’s boosted its credit-rating in January.
The sale came in the worst week for state and local debt this year. Yields on benchmark 10-year munis rose 0.24 percentage point this week through yesterday to 2.08 percent, the highest since April, data compiled by Bloomberg show. Bonds are losing appeal as the Dow Jones Industrial Average climbed for a 10th straight day to a record, the longest winning streak since 1996, amid signs of a strengthening U.S. economy.