Reported about 1 year ago
As interest rates are expected to remain higher for longer, the investment area of municipal bonds is actually benefiting in the high-rate environment. Nuveen Head of Municipals Dan Close discusses the advantages of investing in municipal bonds, as rates on 10-year Treasury yields have risen by 50 basis points, making fixed income cheaper. Additionally, an increase in municipal bond supply sets a positive outlook for the market for the rest of the year. Close anticipates a decrease in issuance closer to the election, creating favorable technical backstops for investors. This investment area offers attractive yields and potential for growth, especially in sectors like local general obligation bonds and land-secured deals.
Source: YAHOO