T-Bill Rates Mixed: The Treasury Department sold...
From Times Staff and Wire Reports
T-Bill Rates Mixed: The Treasury Department sold $9.2 billion of new three-month bills at an average discount rate of 7.32%, down from 7.39% last week. Another $9.2 billion of new six-month bills was at an average discount rate of 7.33%, up from 7.30% last week. The rate for three-month bills was the lowest since they were sold for 7.23% on Aug. 6. The rate for six-month bills was the highest since they averaged 7.34% on Sept. 10. The new discount rates understate the actual return to investors--7.56% for three-month bills, with a $10,000 bill selling for $9,815, and 7.72% for a six-month bill selling for $9,629.40. The discount rate reflects the price discount received when government securities are purchased at less than face value.
