WSJ.com - California to Bond Market: Help!

I know I’m just an idiot hayseed, but I wouldn’t put a nickel into Cali bonds these days. I can’t believe they’ve still got an A rating.

Will bond investors rescue California?

Amid bitter partisan feuding and a campaign to recall the state’s Democratic governor, lawmakers are making scant progress in closing the state’s record $38.6 billion budget gap. But all sides agree that California ultimately will have to sell $10 billion or more in bonds to tide the state over to an economic recovery.

Yet there are growing signs that any new California bonds are losing their allure.

Of course, this is big, massive public works we’ve got here. It’ll probably all work out in the end, but I mean, why tie up good money for so long in a place that’s got such a ways to go to get right?