J.P. Morgan Municipal Morning Intelligence

Research evidence excerpt

J.P. Morgan Municipal Morning Intelligence

J P M O R G A N Global Markets Strategy

22 June 2026

J.P. Morgan Municipal Morning

Intelligence

This week’s volume appears manageable given

sustained fund flow momentum and expected range-

bound rates

Tax-Exempt Market Wrap Securitized Products & Public

Finance Municipals Strategy

Peter DeGroot AC

– Last week’s long-end tax-exempt calendar printed at $9bn, running at 129% (1-212) 834-7293

of the five-year average and $1bn above the same week last year, as prepay deals peter.degroot@jpmorgan.com

continued to push supply above expectations. Despite the added volume, Ye Tian

municipals broadly outperformed given sustained inflows (with LSEG Lipper’s (1-212) 834-3051

weekly print totaling $1.2bn, and the streak now extending to 45 days, based on ye.tian@jpmorgan.com

our observations) and the arrival of mid-June reinvestment capital. Roisin A Gargan

(1-212) 834-7010

– This week, we expect municipals to perform broadly in line with the UST roisin.gargan@jpmchase.com

market in a range-bound rates backdrop, with a manageable $11bn of tax- J.P. Morgan Securities LLC

exempt supply on deck. That level is 16% above the five-year same-week

average of $9.5bn but would be in line with the comparable week last year. As

the past few weeks have reminded us, however, the calendar can still grow as the

week progresses. Additionally, headline risk remains elevated even after an

orderly week following Warsh’s first FOMC meeting and the interim US/Iran

peace deal. That said, we think fund flow momentum is likely to remain intact

if Treasuries hold near current levels, given elevated taxable-equivalent yields

and positive YTD fund performance that continues to reinforce allocations to the

sector.