BANKING & FINANCE - June 21, 1994
From Times Staff and Wire Reports
Treasury Bill Rates Rise: The Treasury Department sold $12.1 billion of new three-month bills at an average discount rate of 4.18%, up from 4.16% last week. Another $12.1 billion of new six-month bills was sold at an average discount rate of 4.55%, unchanged from a week ago. The three-month bill rate was the highest since May 31, when they sold for 4.23%. The new discount rates understate the actual return to investors: 4.28% for three-month bills, with a $10,000 bill selling for $9,894.30, and 4.72% for a six-month bill selling for $9,770. The discount rate reflects the price discount received when securities are purchased at less than face value.
T-Bill Auction
3-month: 4.18%
6-month: 4.55%
