Economy

The Treasury Department sold $10 billion of new three-month bills at an average discount rate of 5.60%, up from 5.59% last week. An additional $10.1 billion of new six-month bills was sold at an average discount rate of 5.78%, up from 5.71% last week. The three-month bill rate was the highest since the 5.60% of April 29. The six-month bill rate was the highest since the 5.79% of April 22. The new discount rates understate the actual return to investors--5.78% for three-month bills with a $10,000 bill selling for $9,858.40 and 6.05% for a six-month bill selling for $9,707.80. The discount rate reflects the price discount received when government securities are purchased at less than face value.

T-Bill Auction 6-month: 5.78% 3-month: 5.60%