{"id":3830,"date":"2010-11-17T09:31:08","date_gmt":"2010-11-17T09:31:08","guid":{"rendered":"http:\/\/zmetro.com\/?p=3830"},"modified":"2010-11-17T09:31:08","modified_gmt":"2010-11-17T09:31:08","slug":"us_muni_bonds_s","status":"publish","type":"post","link":"https:\/\/www.zmetro.com\/?p=3830","title":{"rendered":"US muni bonds see biggest drop since 2008"},"content":{"rendered":"<p><a href=\"http:\/\/www.ft.com\/cms\/s\/0\/41c2dea8-f1b0-11df-bb5a-00144feab49a.html\">The Financial Times<\/a><\/p>\n<blockquote><p><i>Municipal bonds had their biggest one-day sell-off yesterday since the height of the financial crisis, prompting some borrowers to delay financing plans.<br \/>\nThe yields on triple A 10-year bonds rose 18 bps to 2.93 per cent, the largest one-day rise since October of 2008, according the MMD index, which is owned by Thomson Reuters.<br \/>\nAbsolute yields, however, remain well below crisis-era levels.<br \/>\nThe $2,800bn &#8220;muni&#8221; bond market where states and municipalities raise money has been under pressure over the past week amid a rise in the yields of benchmark US Treasury bonds, heavy bond sales and uncertainty about federal support for the market.<br \/>\nThe market declines have made investors, who are mostly wealthy individuals benefiting from tax breaks on muni debt, nervous about an uptick in defaults. Munis historically have been a relatively safe place to invest, but budget deficits and underfunded public pensions have created widespread concern that local entities could struggle to pay their debts.<\/i><\/p><\/blockquote>\n","protected":false},"excerpt":{"rendered":"<p><a href=\"http:\/\/www.ft.com\/cms\/s\/0\/41c2dea8-f1b0-11df-bb5a-00144feab49a.html\">The Financial Times<\/a><\/p>\n<blockquote><p><i>Municipal bonds had their biggest one-day sell-off yesterday since the height of the financial crisis, prompting some borrowers to delay financing plans.<br \/>\nThe yields on triple A 10-year bonds rose 18 bps to 2.93 per cent, the largest one-day rise since October of 2008, according the MMD index, which is owned by Thomson Reuters.<br \/>\nAbsolute yields, however, remain well below crisis-era levels.<br \/>\nThe $2,800bn &#8220;muni&#8221; bond market where states and municipalities raise money has been under pressure over the past week amid a rise in the yields of benchmark US Treasury bonds, heavy bond sales and uncertainty about federal support for the market.<br \/>\nThe market declines have made investors, who are mostly wealthy individuals benefiting from tax breaks on muni debt, nervous about an uptick in defaults. Munis historically have been a relatively safe place to invest, but budget deficits and underfunded public pensions have created widespread concern that local entities could struggle to pay their debts.<\/i><\/p><\/blockquote>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[35,9,17],"tags":[],"_links":{"self":[{"href":"https:\/\/www.zmetro.com\/index.php?rest_route=\/wp\/v2\/posts\/3830"}],"collection":[{"href":"https:\/\/www.zmetro.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.zmetro.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.zmetro.com\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.zmetro.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=3830"}],"version-history":[{"count":0,"href":"https:\/\/www.zmetro.com\/index.php?rest_route=\/wp\/v2\/posts\/3830\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.zmetro.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=3830"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.zmetro.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=3830"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.zmetro.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=3830"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}