T-Bill Rates Fall Again: The treasury sold...

T-Bill Rates Fall Again: The treasury sold $6.6 billion of new three-month bills at an average discount rate of 7.76%, down from 7.96% last week. Another $6.6 billion of new six-month bills was sold at an average discount rate of 7.50% down from 7.63% last week. The rates were the lowest since three-month bills sold for 7.54% last Nov. 7 and six-month bills averaged 7.48% last Oct. 31. The discount rates understate the actual return to investors--8.03% for three-month bills, with a $10,000 bill selling for $9,620.80. The discount rate reflects the price discount received when government securities are purchased at less than face value.