BANKING

Rates Fall On Short-Term Treasury Bills: The Treasury Department sold $13.1 billion in new three-month bills at an average discount rate of 3.06%, down from 3.11% last week. Another $13.1 billion of new six-month bills was sold at an average discount rate of 3.26%, down from 3.27% last week. The three-month bill rate was the lowest since they sold for 3.06% on Oct. 18. The six-month bill rate was the lowest since they averaged 3.26% on Nov. 29. The new discount rates understate the actual return to investors: 3.12% for three-month bills, with a $10,000 bill selling for $9,922.70, and 3.36% for a six-month bill selling for $9,835.20. The discount rate reflects the price discount received when government securities are purchased at less than face value.