Erich Riesenberg

Some Muni Bonds Appear Screaming Buys Here

I think the disparity shows Treasuires are too expensive, rather than Munis too cheap.

Municipalities can not simply raise the mill rate, it can be raised but eventually it won't be simple.

The standard refrain is muncipals never fail, similar to the quaint old refrain that house prices never fall.

I think municpal defaults will be low, with the default protection coming from inflation. Look at what is being done to prevent some foreclosures, imagine the effort which will be made to flood with dollars if municpal defaults appear imminent.