Municipals (MUB +0.4%) catch a nice bid even as interest rates turn sharply higher (TLT -1.2%)....

|By:, SA News Editor

Municipals (MUB +0.4%) catch a nice bid even as interest rates turn sharply higher (TLT -1.2%). The fiscal-cliff deal raised tax rates on higher incomes, but didn't touch the deductibility of interest earned on municipals - a small perfect storm for the sector.