BANKING & FINANCE - Dec. 1, 1992
From Times Staff and Wire Reports
Rates on Short-term Treasuries Rise: The Treasury Department sold $11.85 billion of new three-month bills at an average discount rate of 3.31%, up from 3.27% last week. An additional $11.8 billion of new six-month bills was sold at an average discount rate of 3.46%, up from 3.45% last week. The rates were the highest since June 29, when the three-month bill sold for 3.59% and the six-month rate was 3.66%. The new discount rates understate the actual return to investors--3.39% for three-month bills with a $10,000 bill selling for $9,916.30, and 3.57% for a six-month bill selling for $9,825.10. The discount rate reflects the price discount received when government securities are purchased at less than face value.
