Elevated Muni Supply to Be Met With Healthy Demand in 2020, BlackRock's Carney Says

What has drawn overseas and crossover demand into the taxable muni market?

• Higher interest rates

• A decrease in supply

• A new government policy

• Tax reforms and increased issuance

What is the January effect in the muni market?

• A period of low returns

• A time when cash holdings are beneficial

• A decrease in market activity

• A significant portion of annual returns occurs

Why is it not advisable to hold a lot of cash in December?

• Because of low interest rates

• Because of high inflation

• Due to the tight trading band of U.S. Treasuries

• Due to increased market volatility

What is anticipated for the supply of munis in the new year?

• A continuation of healthy supply levels

• A significant decrease in supply

• A shift to only tax-exempt munis

• A complete halt in issuance

What has been the trend in inflows for the muni market?

• A decline over the past year

• 47 consecutive weeks of inflows

• No significant change

• A sudden increase in the last month