Gary Gildersleeve Quoted in Reuters on Muni Prices

January 19, 2010

Yields are so low on money market funds that investors are developing more interest in municipal bonds, Evercore Wealth Management fixed income portfolio manager Gary Gildersleeve told Reuters in an interview on market conditions.

Gildersleeve said that the watch word for 2010 in munis is "volatility." He said: "We don't know when rates are going to go higher, we don't know by how much and we don't know what's going to precipitate it. We don't know what's going to be the final catalyst for the Fed to raise rates and for us to get to higher rates on the short end, but we know it's coming."