Buffett Backs Municipal Bonds
Buffett’s offer to back Municipal Bonds sent the stock market soaring on hopes that there would be help on potential claim increases. Buffett’s reinsurance offer does not cover any of the subprime mortgage debt and subprime is still likely to have a major effect for the bond insurers. With the huge potential increase in claims, credit rating agencies are worried the insurers won’t have enough cash available to cover the claims.
Socialize
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