Although much attention is focused on the rally in the stock market, corporate bonds also are surging. Investors are optimistic because earnings season has brought indications that the economy is recovering, sparking gains in both stocks and corporate bonds. Some investors are using corporate bonds to hedge their bets or diversify. "If you believe in a V-shaped recovery, then you buy stocks. If you believe we're going to bump along, then you have to go with credit," said Kent Wosepka, chief investment officer of active fixed income at Bank of New York Mellon's Standish Mellon Asset Management.

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