The municipal market was substantially firmer again yesterday, with high-grade munis better by as much as 10 to 15 basis points, as tax-exempt yields continue to plummet in the wake of the Federal Open Market Committee slashing the federal funds rate target at least 75 basis points Tuesday, to a range of zero to 0.25%.

However, Evan Rourke, portfolio manager at MD Sass, said the language in the accompanying statement Tuesday that indicated the Fed will keep rates low for an extended period of time has been a bigger harbinger of the dramatic rallies of the ensuing sessions than the size of the cut.

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