The largest underwriter in the $3.9 trillion municipal-bond market says the rally is about to face a crucial hurdle. Bank of America Corp. analysts Yingchen Li and Ian Rogow said they’re watching to see what happens if 10-year benchmark yields hit 0.5% — a threshold that may mark a test of whether investors continue stampeding into the market. Such pricing milestones are often watched in other markets, from stocks to mortgages, as a sort of psychological test of whether investors will shift gear if prices seem to heady or payouts too low.
Read more: Yahoo Finance.
