Top House Democrats Press Fed to Provide Support to Muni Market
- Bond market disarray is raising costs on virus fighters
- State and local tax revenues plunge as retail sales take a hit
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The chairwoman of the House Financial Services Committee is proposing that the Federal Reserve take the unusual step of supporting debt markets for state and local governments, which are on the front lines in the battle against the coronavirus.
California Democrat Maxine Waters asked Democratic colleagues to back legislation that would require the Fed “to support state, territory, and local debt issuance,” according to a letter dated March 18.