{"id":688461,"date":"2010-03-11T06:54:37","date_gmt":"2010-03-11T11:54:37","guid":{"rendered":"http:\/\/www.businessinsider.com\/muni-bond-market-bursting-with-defaults-2010-3"},"modified":"2010-03-11T06:54:37","modified_gmt":"2010-03-11T11:54:37","slug":"muni-bond-market-begins-to-burst-with-defaults","status":"publish","type":"post","link":"https:\/\/mereja.com\/index\/688461","title":{"rendered":"Muni Bond Market Begins To Burst With Defaults"},"content":{"rendered":"

\"florida<\/p>\n

The red hot municipal bonds space is being rattled by default fears, as some high profile investments begin to unravel.<\/p>\n

Bloomberg:<\/a><\/p>\n

The risk of municipal-bond defaults in the future is “higher than it’s been in quite some time,” said Deutsche Bank’s Pollack, because of the unprecedented stress on state and local budgets.<\/p>\n

…<\/p>\n

Harrisburg, the capital of Pennsylvania, has considered filing for reorganization under Chapter 9 of the U.S. bankruptcy code as it faces $68 million in debt.<\/p>\n

About $2.4 billion of Florida’s so-called dirt bonds, or debt to finance real-estate developments, used reserves or failed to make interest payments in November, up from $1.7 billion in May, according to Interactive Data Corp. That’s the largest amount on record and “reflects an increasing trend,” said Edward Krauss, an analyst for the Bedford, Massachusetts- based research firm, in an e-mail.<\/p>\n

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