As Trump, Clinton Push Infrastructure, Muni Deals at 6-Year High

It appears that local leaders are finally coming around to that line of thinking, seven years after the end of the recession. With interest rates the lowest since 1965, states and cities issued $67.3 billion of debt for infrastructure in the five months through May, the most since 2010, Bank of America Merrill Lynch data show. That was the last year of the federal Build America Bonds program, which encouraged governments to borrow by paying a share of the interest bills on debt sold for public works.

...

Clinton's website features a plan that would raise federal spending on public projects by $275 billion over a five-year period, including a national infrastructure bank that would run an expanded Build America Bonds initiative.

In Trump's book, "Crippled America: How to Make America Great Again," he doesn't put an exact price tag on infrastructure spending, but calls it "a trillion-dollar rebuilding program" that'll be "one of the biggest projects this country has ever undertaken."

...

Even with municipalities ramping up bond sales, it's unlikely the pickup will push interest rates higher, according to a report this week from Municipal Market Analytics. That's because individuals have poured money into muni mutual funds every week since October, the longest streak since 2010, Lipper US Fund Flows data show. The more than $16 billion of inflows to start the year is the most since at least 1992.