After a wild fourth quarter rife with technical pressures and ­illiquidity, it turns out municipals mostly may have simply been obeying their old master: ­Treasuries.

Municipals endured a rough final quarter of 2010, snakebit by rampant supply and credit fears. The looming expiration of the Build America Bond program raised the specter of substantially more long-term tax-exempt ­supply, and Meredith Whitney appeared on 60 Minutes to predict “hundreds of billions of ­dollars” of municipal bond defaults.

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