By Patricia Healy, CFA
A positive tone continues for the credit quality of municipal bonds, and municipal performance has been strong as a result of low supply, high demand, and lower rates. (See John Mousseau's article) After some states reported revenues tracking well below projections in January, fears of a substantial drop-off in state tax collections are being allayed, with tax collections up year-over-year in February and March, according to Morgan Stanley's META 13 state sample ("Municipal Early Tax Analysis"). New Jersey may be bucking that trend, as revenue collections, though somewhat improved, are