Munis saw gains in spots on Monday, as U.S. Treasuries richened and equities ended stronger.

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Muni yields were up to three basis points richer, depending on the scale, with most gains at the front end of the curve. UST yields richened by four to five basis points.

The markets are responding to apparent de-escalation in Iran, H.J. Sims analyst Tim Iltz said, as the U.S. reportedly called off strikes over the weekend. The price of oil has decreased significantly from last week, Iltz added.

Muni investors are armed with heavy redemptions this week, and issuers are set to supply more than $18 billion, Iltz said. The heavy calendar will serve as a test for the market, he said, but the outcome will likely be shaped by forces beyond market technicals.

“What we need to be watching is what’s happening overseas right now,” Iltz said. “That will determine a lot of the environment for this week in terms of how receptive the market is.”