SAN FRANCISCO -- Although California bonds may retain long-term attractiveness, the prolonged state budget battle and fiscal problems have eroded investors' confidence in the state, market participants said Friday at a California public finance conference.

A new University of California at Los Angeles study and other economic data released last week show the state's economy continuing to deteriorate as it undergoes major structural changes.

Limited Time Offer

Save $400 off your subscription. Special offer ends April 30, 2017.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.