Major indexes pulled back this week, amid profit-taking and downward pressure on oil prices. Oil prices fell through most of the week, aside from a mini-rally on Tuesday, due to increasing supplies and lagging demand. Friday morning saw markets open lower, putting the major indexes on track to record the first loss in eight weeks. On the upside, companies like FedEx and Delta Airlines have received analyst upgrades this week, as the lower fuel prices are expected to benefit these travel-dependant companies' bottom lines. Though earnings season is all but over, there were still a few major releases this week, with Costco (COST) beating analysts' EPS estimates, while H&R Block posted a larger Q2 loss and missed analysts' estimates. Initial jobless claims were released on Thursday, and came in just under the expected 297,000 at 294,000. Yields on 10-Year Treasuries fell this week, after starting Monday at 2.26 and closing out Thursday at 2.19. Below, we look at all of Moody's municipal bond upgrades and downgrades from the past week.

Upgrades

• Florida Gas Utility: Moody's upgraded this utility to A1 from A2. The upgrade reflects the improvement in the weighted average credit quality of the utilities which are members of FGU to A1 from A2 and the utility's continued sound cost recovery record on an unregulated basis. FGU has no debt nor derivatives.
• Town of Saugus, MA: Moody's upgraded this town to A1 from A2. The A1 rating primarily reflects the town's sizable tax base located just outside of Boston, growth of General Fund reserves, above average resident wealth levels, and manageable debt burden.
• Villa Rica, GA: Moody's upgraded this city to Aa3 from A1. The upgrade to Aa3 is based on the city's ample reserve levels, bolstered by formal reserve targets and conservative budgeting. The rating also incorporates the city's moderately-sized tax base that benefits from proximity to Atlanta (Aa2 positive) and location along Interstate 20 and above average, albeit manageable, debt burden.
• Town of Ithaca, NY: Moody's upgraded this town to Aa1. The upgrade to Aa1 reflects the resilience of the town's tax base given the institutional presence of Ithaca College and Cornell University, and the town's track record of operating fund balance due to its strong financial management and sound budgeting practices. The Aa1 rating reflects the town's ample reserve levels, moderately-sized tax base with above-average socioeconomic profile, significant institutional presence, and modest debt profile.
• City of Clovis, CA: Moody's upgraded this city to A2 from Baa1. The upgrade reflects the system's improved financial position supported by multi-year rate increases which includes a bond service charge, very healthy and stable liquidity position, improving economy and strong management team. The A2 rating incorporates the system's growing service area supported by a recovering economy, above average wealth indices, very strong liquidity position which is expected to remain strong and below-average debt service coverage.

Downgrades

• City of Opelika, AL: Moody's downgraded this city to A1 from Aa3. The downgrade to A1 reflects the enterprise system's financial support of the city's relatively new telecommunications enterprise and the long-term risks posed by exposure to the sector's competitive market forces. Ongoing support of the Telecommunications Fund will pressure the system's liquidity in the near to medium term, especially if telecommunications operations do not meet expectations. Also, the 2016 maturity of the system's telecommunications bank loan will have a significant impact on the electric system's reserves if the utility is unable to refinance.
• Wayne State University, MI: Moody's downgraded this university to Aa3. The downgrade reflects Moody's expectations of continued negative pressure on key revenue sources, including net tuition revenue, state funding and a competitive research environment. This will continue to strain operating performance, hindering the ability of the university to rebuild unrestricted reserves after a recent spend down for strategic initiatives.
• Las Cruces Public School District No. 2, NM: Moody's downgraded this school district's GO rating to Aa3 from Aa2. The downgrade to Aa3 reflects the district's recently implemented strategy to draw reserves to an extremely narrow position, which is below historical levels and will hinder near-term financial flexibility. The Aa3 rating also incorporates the district's large and stable tax base, socio-economic indices that trend below national averages, and a manageable debt profile with average principal amortization.
• Owensboro, KY: Moody's downgraded this city to A1 from Aa3. The downgrade to A1 reflects the weakening of the city's debt portfolio, including escalating direct debt burden and a multi-year trend of financing non-essential economic development projects with general obligation debt. The rating also reflects the city's sound financial position, with significant reliance on economically sensitive revenue sources for operations, including the repayment of debt. Also considered in the A1 rating is the city's moderately-sized tax base that serves as a regionally-important economic and healthcare center.