Takeaways by Bloomberg AI
- Investors poured the most cash into municipal-bond funds earlier this month since at least 2007, according to CreditSights Inc.
- Muni mutual funds drew an estimated $2.4 billion for the week ending Sept. 10, a 137-week high, while exchange-traded funds notched a $2 billion inflow.
- Munis have returned 2.6% in September, outpacing both US investment-grade bonds and Treasuries, after having lagged both asset classes most months this year.
Investors poured the most cash into municipal-bond funds earlier this month since at least 2007, according to CreditSights Inc.
That’s as they chased a rally in state and local government debt — driven by expectations that the Federal Reserve will resume cutting interest rates — and rebalanced portfolios as stock prices rose to records.
Bloomberg Markets
By Martin Z Braun
September 22, 2025