T-Bill Rates Fall: The Treasury sold $8.2...
From Times Staff and Wire Reports
T-Bill Rates Fall: The Treasury sold $8.2 billion of new three-month bills at an average discount rate of 7.71%, down from 7.80% last week. Another $8.2 billion of new six-month bills was sold at an average discount rate of 7.75%, also down from 7.80% last week. The rates were the lowest since three-month bills sold for 7.65% on Feb. 12, and six-month bills averaged 7.70% on Feb. 26. The new discount rates understate the actual return to investors--7.97% for three-month bills, with a $10,000 bill selling for $9,805.10, and 8.18% for a six-month bill selling for $9,608.20. The discount rate reflects the price discount received when government securities are purchased at less than face value.
