Morgan Stanley Smith Barney fired George Friedlander , a municipal bond strategist for more than three decades, as it integrates two formerly separate firms, according to a person familiar with the matter.
Fort Worth, Texas, avoided voters when it sold $86 million of bonds last year to finance a police and fire facility. An El Paso hospital system plans new clinics using $162 million of debt taxpayers won’t have a say on.
The largest exchange-traded fund tracking the U.S. municipal market is selling at its biggest discount to its underlying assets in almost two years. If history is any guide, that signals a buying opportunity.
U.S. households hold the least municipal debt since 2008, and are instead stockpiling the most cash in at least four years, offering a cushion for the $3.7 trillion market as yields reach an 11-month high.
Citigroup Inc . analysts say there’s something missing from the Federal Reserve’s tally of the municipal-bond market’s size: more than $700 billion of the securities were bought directly by individual investors.
The steepest losses in almost three years for U.S. municipal debt may wind up helping bondholders. Issuers jolted by rising yields are scaling back sales to the slowest pace since 2011, helping limit declines in the $3.7 trillion market.