municipal bond index

A municipal bond index is a measurement that tracks the performance of a specific group of municipal bonds, which are loans issued by local governments to fund projects like schools or roads. It acts like a benchmark, showing how these bonds are doing overall in terms of value and yield. Investors and analysts use it to gauge the health of the municipal bond market and compare individual bond investments against broader market trends. Essentially, it helps people understand how well municipal bonds are performing without needing to review each one individually.