Corporate bonds shone as investors' appetite for risk grew.
Equities, bonds, and commodities continued to register strong gains for the second month in a row. The Morningstar Core Bond Index--a broad measure of the US fixed-income market--posted a gain of 0.42% in May. Developing country government debt continues to fall and the rating agencies take action, while emerging markets continue to surge.
In our June 2009 Bond Market Commentary, Morningstar Indexes' Bill Mast provides further insight into the bond market's performance.
Sanjay Arya is director of Morningstar Indexes.