Despite cities such as Stockton making headline news for refusing to honor its debt obligations, the number of defaulted municipal issuers is actually down by 32% from the first half of 2011. The total dollar amount of defaulted muni bonds is down to $800 million from $1 billion over the same time period last year. This is very good news for both investors in municipal bonds, and the bond insurance companies such as AGO, and MBI.
Muni Defaults Down At Midyear, State Budgets On Time-Barrons
Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.