S.E.C. Investigating Wall Street Muni Bets
May 14, 2010 at 11:40 AM EDT
The SEC is investigating whether Wall Street banks used their own money to bet in financial markets against muni bonds that they had sold, the Wall Street Journal reported, citing people familiar with the matter. The regulator, which has launched a preliminary inquiry into the matter, is examining trades of municipal credit default swaps (insurance-like derivatives [...]