With German bunds set to have their worst monthly performance this October since making headlines, this could have some implications for U.S. municipal bond markets. However, the market isn’t seeing negative implications just yet.
The previous week saw investors leave municipal bond mutual funds on a net basis for the first time in over a year. This ended up being blip on the screen and not a trend…for now at least.
Spurred by new regulations and overall compressed yields, the money market complex that invests in municipal bonds have seen capital exit in droves. However, with new rules now in place, the market is starting to sort out the process.
Hospitals have come to the municipal market at an increase pace in the wake of the Affordable Care Act. Inside we review two healthcare issuers in particular.