BANKING & FINANCE - June 8, 1993
From Times Staff and Wire Reports
T-Bill Rates Rise: The Treasury Department sold $12.02 billion in new three-month bills at an average discount rate of 3.14%, up from 3.08% last week. An additional $12.08 billion in new six-month bills was sold at an average discount rate of 3.30%, up from 3.22% last week. The three-month bill rate was the highest since the bills sold for 3.15% on Jan. 4. The six-month bill rate was the highest since it averaged 3.38% on Dec. 28. The new discount rates understate the actual return to investors: 3.21% for three-month bills with a $10,000 bill selling for $9,920.60, and 3.40% for a six-month bill selling for $9,833.20. The discount rate reflects the price discount received when government securities are purchased at less than face value.
