Investors have become increasingly concerned about the outlook for the $3trn US municipal bond market. Although issuers of US municipal bonds are faced with many challenges, we think investors’ worst fears are overdone. This is unlikely to be the next leg of the financial crisis. Nevertheless, concern about a surge in defaults is likely to remain a source of market volatility.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services