municipal bond market

What Government Defaults Mean for Muni Bonds

U.S. municipalities have filed five bankruptcies this year, and -- next week -- Jefferson County, Ala., could make a sixth. Could city and county defaults shake the muni-bond market just as investors are fleeing to it amid stock-market declines?

Alabama County on the Brink of Bankruptcy

Investors and officials in Jefferson County, Ala., are trying to negotiate a deal to avoid bankruptcy by Thursday's deadline. If they're unsuccessful, the county could end up with the largest Chapter 9 filing in U.S. history, which could rattle the $2.9 trillion municipal bond market.

California Kicks Off $14 Billion in Bond Sales

The fiscally struggling state hopes that investors concerns over its troubles will be offset by their desire for yield. Governor Schwarzenegger has called a special legislative session to address a deficit now projected to be more than $25 billion over the next 18 months.

Chicago's Next Mayor Could Find City Coffers Almost Empty

Chicago%u2019s next mayor may will find the city%u2019s coffers almost empty after Richard M. Daley dipped into reserves to balance this year%u2019s budget. The city expects a $654.7 million deficit for 2011, Bloomberg News reported. Daley balanced this year%u2019s budget partly with reserves. If he uses funds from leasing parking meters, garages and a toll road to fill the 2011 gap, the city will be left with only $121 million.