Daily Market Color June 6, 20223% Once Again Jeff Davenport 10-Year Back Above 3% as Rates Climb Once Again. Rates climbed from the open and continued to rise throughout the day, swap rates and Treasury yields ending the day 8-12 bps higher across a steepening curve. The 10-year Treasury yield broke back above 3% for the first time in a month, pushed higher not by economic data but by a busy issuance day that saw 12+ companies issue debt. 10-year rates have climbed nearly 30+ bps since the end of May. British Prime Minister Boris Johnson survives no-confidence vote. Conservative parliament members voted 211-148 to keep Johnson in power. Following the vote, Johnson commented, “I think it’s an extremely good, positive, conclusive, decisive result which enables us to move on, to unite and to focus on delivery (of services).” While Johnson came under fire domestically over his flouting of his own COVID policies, he also has experienced substantial pressure over rising inflation. Consumer price inflation has neared nearly 10% across the pond. Equities pulled lower by rising rates again. US equities started off the day on a strong note, all three major indices rising to start the day- the S&P 500 climbing as high as 1.43% before being dragged back down to earth by the price action in the bond market. The index would close higher by a mere 0.31% while the VIX or “Fear Index” would tick higher to 25 (though it still remains near its 30-day lows).