Redemptions Converge With Refundings Fueling Rally: Muni Credit
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U.S. state and city debt is set to extend its longest rally in five years as investors put to work a record wave of cash from bonds that are maturing or being refinanced.
The $3.7 trillion municipal market is set for a sixth straight quarterly gain, the longest streak since 2007, according to Bank of America Merrill Lynch data. The securities have returned 1.9 percent since March 31. Another three-month advance would make the rally the best in 11 years.