BANKING & FINANCE - Nov. 3, 1992
From Times Staff and Wire Reports
T-Bill Rates Rise: The Treasury sold $11.8 billion of new three-month bills at an average discount rate of 3.05%, up from 2.97% last week. Another $11.8 billion of new six-month bills was sold at an average discount rate of 3.27%, up from 3.22% last week. The three-month bill rate was the highest since they sold for 3.17% on Aug. 31. The six-month bill rate was the highest since they averaged 3.30% on Aug. 3. The new discount rates understate the actual return to investors--3.12% for three-month bills with a $10,000 bill selling for $9,922.90 and 3.37% for a six-month bill selling for $9,834.70. The discount rate reflects the price discount received when government securities are purchased at less than face value.
