What's in Store for Munis?

With Wall Street in a free fall, investors are wondering if municipalities, especially in the New York region, will begin to suffer as local economies will surely struggle.  One way to trade or just track the muni-bond market is through ETFs. 

iShares has an ETF for the national muni-bond market (MUB), the New York region (NYF), and California (CMF).  As shown in the chart below, each of the ETFs have fallen in recent days, but the New York one hasn't gotten hit that hard.  We'll see what happens in the coming months, however.

click to enlarge

Comments

[MarvinMBA:]

So much depends on getting the economy going again...Uncle Sam has to do something like jump start M1 or were all Depression candidates....

2008 Sep 17 09:42 PM