The Treasury sold $6.4 billion in new...

The Treasury sold $6.4 billion in new three-month T-bills at an average discount rate of 6.53%, up from 6.34% last week. Another $6.4 billion of new bills was sold in six-month bills at an average discount rate of 6.83%, up from 6.71% last week. The rates were the highest since Oct. 19 when three-month bills sold for 6.84% and six-month bills averaged 7.21%. The new discount rates understate the actual return to investors--6.73% for three-month bills with a $10,000 bill selling for $9,834.90 and 7.17% for a six-month bill selling for $9,654.70. The discount rate reflects the price discount received when the securities are purchased at less than face value.