T-Bill Rates Fall Again: The Treasury sold...
From Times Staff and Wire Reports
T-Bill Rates Fall Again: The Treasury sold $8.8 billion of new three-month bills at an average discount rate of 7.73%, down from 7.78% last week. Another $8.8 billion of new six-month bills were sold at an average discount rate of 7.60%, down from 7.67% last week. The rates were the lowest since three-month bills sold for 7.69% on June 4. Six-month bills averaged 7.54% last Jan. 16. The new discount rates understate the actual return to investors--7.99% for three-month bills, with a $10,000 bill selling for $9,804.60, and 8.01% for a six-month bill selling for $9,615.80. The discount rate reflects the price discount received when government securities are purchased at less than face value.
