Muni Buyers Start to Nibble as Market Has Worst Month Since 2023
Workers at the Riverfront Development project along the Trinity River in Dallas, Texas.
Photographer: Jonathan Johnson/BloombergThe US municipal market’s worst month in more than two years has cheapened the debt enough to lure some investors looking to add to their tax-exempt holdings.
It’s been a tough stretch across fixed income, with the Middle East conflict pushing up oil prices and sparking inflation concerns. But munis have had an especially poor month, declining 2.5% in March through Monday, on track for their biggest monthly loss since September 2023, Bloomberg index data show. Treasuries, meanwhile, have held up marginally better, with a 1.8% drop.