Interest Rates Up on T-Bills: Interest rates on short-term Treasury securities rose at the latest auction. The Treasury sold $7.8 billion of new three-month bills at an average discount rate of 7.78%, up from 7.52% last week. Another $7.8 billion of new six-month bills was sold at an average discount rate of 7.62%, up from 7.5% last week. The new discount rates understate the actual return to investors--8.05% for three-month bills with a $10,000 bill selling for $9,799.00 and 8.04% for a six-month bill selling for $9,610.50. The discount rate reflects the price discount received when government securities are purchased at less than face value.