Muni yields were cut on Monday, as U.S. Treasuries cheapened and equities ended lower.

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Munis cheapened by up to seven basis points, depending on the scale, with the largest losses farther along the curve. UST yields cheapened by one to four basis points.

The light flows and light activity in the muni market are to be expected for a Monday in the summer, said Chris Brigati, CIO at SWBC.

Demand, exchange-traded funds and fund flows, and reinvestment capital are all decent, Brigati said, but yields are cheapening as the market prepares for the week’s projected $15 billion of new issuance.

Brigati expects yields to stay at these elevated levels for the rest of the week, possibly drifting one or two basis points cheaper.

Brigati is “hearing from some of the sell-side … they wouldn’t mind reducing some exposure. There’s a decent amount of bonds on books, and if they can move paper and lighten up their load, that’s not the worst thing in the world from their perspective,” he said. “We’re seeing the buy-side continue to say they have cash to put to work, and being thoughtful about it. But clearly, not in a rush to get it done.”