Short-term Treasury yields were off slightly.

Yields on short-term Treasury securities dropped slightly in Monday’s auctions following three weeks of increases. The Treasury Department sold $6.9 billion in three-month bills at an average discount rate of 7.18%, down from 7.20% last week. Another $6.9 billion was sold in six-month bills at an average discount rate of 7.32%, down from 7.36% last week. The rates were the lowest since three-month bills sold for 7.14% on Oct. 7 and six-month bills averaged 7.24% on Sept. 30. The new discount rates understate the actual return to investors--7.41% for three-month bills and 7.71% for six-month bills.