The tax-exempt market extended its five-day losing streak into the end of the week as traders said an overload of supply overwhelmed the market.

“Today is still weaker,” a New York trader said Friday. “Thursday there was a very strong bid-wanted activity which added to people’s fear of others coming out and selling large blocks of pretty much all different structures. So it’s weaker, but I think a lot of people have now moved to the sidelines to wait and see where things settle at this point.”

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