Municipal Markets Unmoved By Detroit Bankruptcy

Former industrial powerhouse Detroit filed for bankruptcy last Friday, but there is little agreement about what this move signals for other cities struggling with reduced income and mounting debt. The city was struggling to handle $18 billion in debt and obligations, and a deal between Detroit’s emergency manager Kevyn Orr and creditors looked more and more unlikely, causing Michigan governor Rick Snyder to authorize the filing on July 18, David McLaughlin at Bloomberg reports. Kevyn Orr’s approach to city creditors Orr was appointed by Snyder in March of this year after decades of mismanagement and alleged corruption had reduced what…