Municipal bond funds experienced outflows of $1.2B in the week through Wednesday amid rising...
Municipal bond funds experienced outflows of $1.2B in the week through Wednesday amid rising concerns that other cities will follow Detroit in declaring bankruptcy. It was the ninth week in a row of net outflows, with the trend starting after the Fed said it would start tapering its QE program later in the year. Yesterday, U.S. Bankruptcy Judge Steven Rhodes suspended lawsuits in state courts that seek to halt Detroit's bankruptcy filing, saying his court will be the only venue for legal action regarding the Chapter 9 submission.
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