T-Bill Rates Dip: The Treasury sold $16...
From Times Staff and Wire Reports
T-Bill Rates Dip: The Treasury sold $16 billion of new three- and six-month bills at its weekly auction, which was postponed Monday. The Treasury sold $8 billion of new three-month bills at an average discount rate of 7.67%, down from 7.78% last week. Another $8 billion of new six-month bills was sold at an average discount rate of 7.49%, down from 7.62% last week. The new discount rates understate the actual return to investors--7.93% for three-month bills, with a $10,000 bill selling for $9,806.10, and 7.89% for a six-month bill selling for $9,621.30. The discount rate reflects the price discount received when government securities are purchased at less than face value.
