BANKING & FINANCE - Jan. 22, 1992

T-Bill Rates Fall: The Treasury Department sold $10.2 billion of new three-month bills at an average discount rate of 3.78%, down from 3.83% last week. Another $10.2 billion of new six-month bills was sold at an average discount rate of 3.84%, down from 3.87% last week. The three-month bill rate was the lowest since they sold for 3.75% on Dec. 23, 1991. The six-month bill rate was the lowest since they averaged 3.796% on March 6, 1972. The new discount rates understate the actual return to investors--3.88% for three-month bills with a $10,000 bill selling for $9,904.50 and 3.98% for a six-month bill selling for $9,805.90. The discount rate reflects the price discount received when government securities are purchased at less than face value.

T-Bill Auction 6-month: 3.84% 3-month: 3.78%