Global stocks and bonds advanced and several key market indexes hit record highs. Investor sentiment improved as central banks around the world made it clear that the era of easy monetary policy is far from over. Diminishing trade tensions near the end of the quarter also contributed to market gains as world leaders met in Japan to discuss trade and other issues at the G-20 summit.
Cyclical stocks rallied as officials with the U.S. Federal Reserve and the European Central Bank suggested that interest rate cuts or other stimulus measures could be on the way. Traditionally defensive sectors, including real estate and health care, generally lagged the overall market. Energy stocks declined on falling oil prices.
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