BANKING & FINANCE - April 20, 1993
From Times Staff and Wire Reports
T-Bill Rates Fall: The Treasury Department sold $10.7 billion of new three-month bills at an average discount rate of 2.82%, down from 2.89% last week. Another $10.7 billion of new six-month bills was sold at an average discount rate of 2.96%, down from 3% last week. The three-month bill rate was the lowest since they sold for 2.67% on Oct. 5. The six-month bill rate was the lowest since they averaged 2.95% on Oct. 13. The new discount rates understate the actual return to investors--2.88% for three-month bills with a $10,000 bill selling for $9,928.70, and 3.05% for a six-month bill selling for $9,850.40. The discount rate reflects the price discount received when government securities are purchased at less than face value.
